1 NCASFAA Spring Conference 2008 Wrightsville Beach, NC Traci Mitchell Bill Zahn

NCASFAA Spring Conference National Student Loan Database System- NSLDS Aggregate Calculations & other discussion points?! Would rather be here now? Special thanks to US Department of Education for letting us use their presentation - FSA 2007 FSA Conference

3 What is this all about? We’ll Talk!

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Aid Tab Menu REQUIRED Input Student’s SSN, First Name, and DOB Click functions such as “Loan History”

Loan History Click number or Loan Detail Button to see more loan information

Using Loan History Understand aggregate loan terms Identify loan types that impact aggregate limit calculations Calculate aggregate limits using NSLDS methodology Apply aggregate information to eligibility decisions 7

Defining & Using Aggregates NSLDS Loan Terms – Outstanding Principal Balance (OPB) – Aggregate amounts Aggregate Loan Information Loan Level Aggregate Principal Balance Why are NSLDS Aggregate amounts used? 8

NSLDS Aggregate Totals Calculation Process 9

Calculate Each Loan Type’s Loan Level Aggregate OPB NSLDS reviews loans in student’s financial aid history Categorizes each loan into respective loan type (e.g., bucket) 10

Calculate Each Loan Type’s Loan Level Aggregate OPB, cont. 11 Three main loan groupings: –Recent loans –Older loans –Consolidation Loans

Recent Loans May have adjustments not yet posted May have additional disbursements or adjustments not yet reported to NSLDS Included at end of calculation as Pending Disbursements 12

Recent Loans, cont. 13 Recent loans Period End Date Loan Period End Date plus 90 days has not yet passed Loan StatusIA, ID, IG, IM Aggregate Outstanding Principal Balance (Agg. OPB) Greater of –OPB, or –Disbursed Amount Not to exceed Net Loan Amount

Status-A two-character code and description indicating the status of a loan CodeDescription AE Loan Transferred to New Holder AL Abandoned Loan BC Bankruptcy Claim, Discharged BK Bankruptcy Claim, Active CA Cancelled CS Closed School Discharge DA Deferred DB Defaulted, Then Bankrupt, Active, Chapter 13 DC Defaulted, Compromise DD Defaulted, Then Died DE Death DF Defaulted, Unresolved DI Disability DK Defaulted, Then Bankrupt, Discharged, Chapter 13 DL Defaulted, In Litigation DN Defaulted, Paid in Full Through Consolidation Loan 14 DO Defaulted, Then Bankrupt, Active, Other DP Defaulted, Paid in Full DR Defaulted Loan Included in a Rolled-Up Loan DS Defaulted, Then Disabled DT Defaulted, Collection Terminated DU Defaulted, Unresolved DW Defaulted, Write-off DX Defaulted, Six Consecutive Payments DZ Defaulted, Six Consecutive Payments, Then Missed Payment(s) FB Forbearance FC False Certification Discharge FR Borrower Convicted of Fraud IA Loan Originated ID In School or Grace Period IG In Grace Period IM In Military Grace IP In Post-Deferment Grace Period IT Loan Transferred by DCS

Status Codes Cont: OD Defaulted, Then Bankrupt, Discharged, Other PC Paid in Full Through Consolidation Loan PF Paid in Full PM Presumed Paid in Full PN Non-Defaulted, Paid in Full Through Consolidation Loan RF Refinanced RH Loan Transferred by DCS to Sallie Mae RP In Repayment TG Loan Transferred by DCS to GA927 UA Temporarily Uninsured-No Default Claim Requested UB Temporarily Uninsured-Default Claim Denied UC Permanently Uninsured/Unreinsured-No Default Claim Requested UD Permanently Uninsured/Unreinsured-Default Claim Denied UI Unreinsured XD Defaulted, six consecutive payments 15 The loan status code is blue and underlined if the student is not in defaut, yellow and underlined if the student is in default. The loan status codes are hyperlinks back to the Loan Status Code list above.

Older Loans 16 Included in Aggregate OPB calculations Older loans Period End Date90 days or older Loan Status Aggregate Outstanding Principal Balance (Agg. OPB) Lesser of –Net Loan Amount, or –Disbursed Amount, or –OPB If all are greater than zero

Aggregate OBP 17

Subsidized Loan Aggregate Calculation Components 18 Loan Types / Bucket: Subsidized (from Loan Summary) Recent or Older Loans FFEL Sub Direct Stafford Subsidized Direct Consolidation Subsidized  Calc’d Sub CL – FFEL Consol. Calc’d Sub Aggr. OPB amount(s)

Unsubsidized Loan Aggregate Calculation Components 19 Loan Types/ Bucket: Unsubsidized (from Loan Summary) Recent or Older Loans: FFEL Unsub Supplemental Loan (SLS) Federally Insured (FISL) FFEL Refinanced Loan Direct Stafford Unsubsidized Direct Consolidation Unsub Calc’d Unsub FFEL Consol. Calc’d Unsub Aggr. OPB amount(s)

Consolidation Loan Components When no underlying loans reported within 60 days of FAH review, loan level Agg. OPB is zero If CL over 60 days old and has no underlying loans, then whole CL treated as Subsidized CL falls under older loan category 20

Consolidation Loans (CL) & Aggregate OPB 21 Process to determine impact of CL on Aggregate OPB: 2A.Identify underlying loans 2B.Determine number of CLs & Totals 2C.Determine Calculated Agg. OPBs 2D.Determine CL;s Unallocated Agg. OPB 2E.Calculate CL’s Combined Loans Agg. OPB

Identify CL’s Underlying Loans 22 Step 1: Determine Loan Status Loan Status is one of these:  PC  PN  DN  DP  PF Step 2: Determine Loan Status Date Loan Status Date: ________ Is Loan Status Date within 210 days (before or after) Consolidation Loan Date?  Yes  No Step 3: Underlying Loan? If Loan Status is one listed in Step 1 and the answer to Step 2 is Yes, then loan is underlying loan.

Which are Underlying Loans? 23

Determine Number of CLs and Totals 24 FFEL Consolidation Loan Types Perkins Loan TypesPLUS Loan Types

Determine Number of CLs and Totals 25 Subsidized Loan TypesUnsubsidized Loan Types

Consolidation Loans & Totals 26 Determine number of CLs = 2 Sum Disbursed Amt of Loan Types –Total CL Disbursed Amt: $39,000 –Total Subsidized Disbursed Amt: $18,625 –Total Unsub Disbursed Amt: $13,000

Consolidation Loans & Totals, cont. Loans Not Factored into Aggregate OPB Loan Limits – Total Perkins Disbursed Amt: $4,000 – Total PLUS Disbursed Amt:$1,000 27

Determine Calculated Agg. OPBs 28 Calculate ratio for each Loan Type - percentage of CL attributable to Loan Type Sum of CL Disb Amts Sum of Underlying Loans’ Disb Amts Ratio = Determine Calculated Agg. OPB amount for each CL Aggregate = Ratio  CL Guaranteed Amt

Calculate CL Subsidized Agg. OPB 29 Determine ratio for subsidized loans –Total of underlying Sub Disbursement Amounts = $18,625 –Total of CL Disbursement Amounts = $39,000 –Ratio = $18625/$39,000 =

Calculate CL Subsidized Agg. OPB, cont. 30 Determine Calculated Subsidized Aggregates (Ratio  Guaranteed Amount) - Calculated Subsidized Aggregate for CL #4= $8,119 (  $17,000)

Calculate CL Subsidized Agg. OPB 31 –Calculated Subsidized Aggregate for CL #5=$10,506 (  $22,000)

Calculate CL Unsubsidized Agg. OPB Determine ratio for Unsubsidized loans – Total of underlying Unsub Disbursement Amounts = $13,000 – Total of CL Disbursement Amounts = $39,000 – Ratio = $13,000/$39,000 =

Calculate CL Unsubsidized Agg. OPB, cont. Determine Calculated Unsub Aggregates (Ratio  Guaranteed Amount) – Calculated Unsubsidized Aggregate for CL #4= $5,667 (  $17,000) – Calculated Unsubsidized Aggregate for CL #5= $7,333 (  $22,000) 33

Calculate Perkins Share of CL’s Agg. OPB Determine ratio for Perkins loans – Total of underlying Perkins Disbursement Amounts = $4,000 – Total of CL Disbursement Amounts = $39,000 – Ratio = $4,000/$39,000 =

Calculate Perkins Share of CL’s Agg. OPB, cont. Determine Perkins Share of CL’s Aggregate OPB (Ratio  Guaranteed Amount) – Perkins Share of CL #4 Aggregate OPB = $1,744 (  $17,000) – Perkins Share of CL #5 Aggregate OPB = $2,256 (  $22,000) 35

Calculate PLUS Share of CL’s Agg. OPB Determine ratio for PLUS loans Total of underlying PLUS Disbursement Amounts = $1,000 Total of CL Disbursement Amounts = $39,000 Ratio = $1,000/$39,000 =

Calculate PLUS Share of CL’s Agg. OPB Determine PLUS Share of CL’s Aggregate OPB (Ratio  Guaranteed Amount) PLUS Share of CL #4 Aggregate OPB = $436 (  $17,000) PLUS Share of CL #5 Aggregate OPB = $564 (  $22,000 37

Calculate CL Unallocated Amounts 38 Guaranteed Amount$17,000 - Total Perkins Share$1,744 - Total PLUS Share$436 - Calculated Sub Aggregate OPB$8,119 - Calculated Unsub Aggregate OPB$5,667 = Calculated Consolidation, Unallocated Aggregate OPB for CL #4 $1,034

CL Unallocated Amounts, cont. 39 Guaranteed Amount$22,000 - Total Perkins Share$2,256 - Total PLUS Share$564 - Calculated Sub Aggregate OPB$10,506 - Calculated Unsub Aggregate OPB$7,333 = Calculated Consolidation, Unallocated Aggregate OPB for CL #5 $1,341

Calculate CL Combined Agg. OPB 40 Combined Agg. OPB = Calculated Sub Agg. OPB + Calculated Unsub Agg. OPB

Calculate CL Combined Agg. OPB, cont. Combined Agg. OPB (older loans) “adjusted” when: – Underlying Perkins loans are factored out of Unallocated Amount – Underlying PLUS loans are factored out of Unallocated Amount (for PLUS Borrower) 41

Sum Loan Level Agg. OPBs by Loan Type Collect all loan level Agg. OPB numbers Roll individual calculated numbers into respective loan types 42

Sum Loan Level Agg. OPBs by Loan Type, cont. Add in respective loan type’s pending disbursements Display each loan type’s Aggregate OPB Totals in Aggregate Loan Information section 43

Combined Loan Amounts Roll-Up 44

Evaluate Totals for Eligibility 45

What have we learned? 46

Resources: NSLDS Aggregate Training Workbook 47 ents/Session0207.ppt

Additional NSLDS Resources NSLDS for Financial Aid Professionals Information for Financial Aid Professionals (IFAP) – Dear Colleague Letter GEN – Dear Partner Letter GEN

Overpayment List Click “Add Overpayment” to add another Click Number Icon To Update/Delete Overpayment

Grants Page

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Transfer Monitoring List Click “Number Icon” To Update/Delete Click To Add Student Sort/Retrieve Students That Meet Conditions

Monitor Alert Review Check Reviewed Box to clear alert Click item to review the aid that has changed

Return to Main Menu Click “Enroll” Tab to go to Enrollment function

Enrollment Tab Menu ENTER “SSN”, “First Name”, and “DOB”, Then Click “Retrieve”

Enrollment Detail Advanced Display Options allows selection of records to display

Enrollment Summary Page Click “Enrollment Timeline” to see chronology of reported enrollment

Return to Main Menu Click “Org” Tab

Org Tab Menu Click To Add New Contact Information Click “Number Icon” To Update/Delete Always create: A Primary Contact & Enrollment Reporting- and provide ADDRESSES

60 Have Questions? Call – They CAN help

Questions and Dialogue?? 61

62 Enjoy the conference Again a Special thanks to US Department of Education for letting us use their presentation FSA 2007 FSA Conference THANK YOU FOR YOUR TIME