1. OKLAHOMA COLLEGE ASSISTANCE PROGRAM (OCAP) Debt Levels Cohort Default Rates Default Management Plans Rick Edington, Executive Director Mary Heid, Director for Policy, Compliance & Training

2. DEBT LEVELS- NATIONAL VS. OK Project on Student Debt (4 Year Public and Private Data Only) 2009 National Average - $24, 000 OK - $20,469 (15% lower) State Rank 33 2010 National Average $25,250 OK- $20,708 (18% lower) State Rank 40

3. IPEDS- AVERAGE LOAN SIZE

4. IPEDS- AVERAGE % BORROWING

5. COHORT DEFAULT RATES Definition Cohort Default Rate: The percentage of students in the cohort who default that cohort year or: in the next fiscal year (2-year CDR). in the next two fiscal years (3-year CDR). 2 to 3 year transition FY2009 borrowers who entered repayment between October 1, 2008 and September 30, 2009

6. COHORT DEFAULT RATES Publish Dates for Two-Year and Three- Year CDRs Published Two-Year Cohort Three-Year Cohort 20112009 201220102009 201320112010 2014n/a2011

7. BENEFITS Timeframe: Beginning October 1, 2011, benefits are available only if the three most recently published 2-year or 3-year CDRs are less than 15% (up from 10%). Beginning October 1, 2014, benefits are available only if the three most recently published 3-year CDRs are less than 15%. Benefit #1: You may choose not to delay the first disbursement of a loan for 30 days for first-time, first-year undergraduate borrowers. Benefit #2: You may deliver or disburse, in a single installment, loans that are made for one semester, one trimester, one quarter, or a four- month period.

8. SANCTIONS Timeframe: Beginning October 1, 2011, sanctions are applied only if the three most recently published 2-year CDRs are greater than 25% or any CDR is greater than 40%. Beginning October 1, 2014, sanctions are applied only if the three most recently published 3-year CDRs are greater than 30% or any CDR is greater than 40%. Schools at or above threshold: First Year: Create a default prevention task force and submit a plan to DE. Second Consecutive Year: Task force must strengthen plan and re-submit to DE. Whenever two of the last three rates are 30% or above, school will be placed on provisional certification (Oct-2014)

9. ESTIMATED NATIONAL 2009 3-YEAR RATES Type of InstitutionPredicted FY 2009 3-Year Rate Total15.6% Public11.7% < 2 year19.3% 2-3 year19.4% 4 year8.3% Non-Profit7.9% < 2 year24.0% 2-3 year18.5% 4 year7.8% For-Profit29.3% < 2 year27.8% 2-3 year29.6% 4 year29.4% Source: Mark Kantrowitz, (FinAid.org) May 23, 2011

10. DEFAULT MANAGEMENT PLANS Required for schools with CDR sanctions threshold. Good idea for any school! OCAP will help!