# Presentation: 423446

## Session 45

- Direct Loans:
- How to Get Started and Get Going !
- Gail McLean-Campbell
- Lisa DiCarlo

## Objectives

- Get Started:
- Application and Approval
- Setup
- Get Going:
- School Processing Options and Setup
- Operational Decisions
- Tools Available

## Get Started:

- Application and Approval
- Set-up

## Get Started: Application and Approval

- Certified eligible for Direct Loan?
- Eligibility and Certification Approval Report (ECAR)
- “E-APP for Schools” Web site www.eligcert.ed.gov

## Get Started: Application and Approval

- E-mail participation request to:
- CODSupport@acs-inc.com
- Include:

| School name, address, 
and phone # | Requestor’s name, 
e-mail, and phone # |
| --- | --- |
| Award Year | COD ID (8 digit #) |
| DUNS # | OPE ID (8 digit #) |

## Get Started: Application and Approval

- List of requested information can be found at:
**http://www.ed.gov/offices/OSFAP/DirectLoan/index.html **
**Professionals**
**Becoming a Direct Loan Program Participant**

## Get Started: Application and Approval

- Direct Loan Operations Review
- Review school records
- Approve or deny request
- Record results of review in PEPS
- E-mail Approval or Denial letter to the school

## Get Started: Application and Approval

- Approval letter
- Effective date
- Funding method
- Direct Loan Checklist
- Denial letter
- Reason for denial
- Actions required for reconsideration

## Get Started: Setup

- PEPS transmits school information to COD
- Direct Loan Operations assigns “Initial” CFL
- COD transmits school information and CFL to Grant Administration and Payment System (GAPS)
- GAPS creates school’s Direct Loan account

## Get Started: Setup

- Grant Administration and Payment System (GAPS)
- Direct Loan”Banking” information
- GAPS Hotline: 1-888-336-8930
- Web site: www.e-grants.ed.gov

## Get Started: Setup

- Student Aid Internet Gateway (SAIG)
- Complete or revise SAIG Agreement
- SAIG assigns mailbox (TG#s)
- Arrange for testing of transmissions
- SAIG Customer Service: 1-800-330-5947
- Web site: www.fsawebenroll.ed.gov

## Get Started: Setup

- Approved Additional Locations
- May report origination records separately from main campus
- Must be set up to process
- Send an email request to:
- CODSupport@acs-inc.com

## Get Started: Setup

- Approved Additional Locations
- To process separately
- Must have
- A unique Grantee DUNS
- Dun & Bradstreet – 1-800-333-0505
- A unique Direct Loan code (“E” code)
- Must follow same steps as main campus

## Get Going:

- School Processing Options and Setup
- Operational Decisions
- Tools Available

## Get Going: Processing Options and Setup

- Basic Responsibilities:
- Determine student eligibility for aid
- Report Originations, Disbursements, and Master Promissory Notes (MPNs)
- Report changes to disbursements
- Reconcile loan and cash records

## Get Going: Processing Options and Setup

**Get Going: Processing Options and Setup**

- Funding Data and
- Payment Requests

- FAFSA

- SAR

- Originations, Disbursements & Paper MPNs

- Responses

- e-MPN

- Funding Request

- Money

- Loans and Disbursements
- Enrollment Status

- Electronic Entrance & Exit Counseling

- Repayment/
- Servicing

- Student data

## Get Going: Processing Options and Setup

- What funding method?
- School-initiated drawdown = Advanced Funds
- System-initiated drawdown = Pushed Cash
- Receive response when submitting via web?

## Get Going: Processing Options and Setup

- Master Promissory Note:
- Electronic of Paper?
- Who handles MPN process?
- How often signed?
- Accept or reject disbursements without MPN on file?

## Get Going: Processing Options and Setup

- Master Promissory Note:
- eMPN
- Stafford (Sub/Unsub)
- PLUS
- School options
- Obtaining access
- Web site: www.dlenote.ed.gov

## Get Going: Processing Options and Setup

- Reports
- What format?
- Receive or not?
- Select via COD Web site

## Get Going: Operational Decisions

- To what extent do you plan to participate?
- Completely transition?
- Offer both Direct Loan and FFELP?
- If both, how?
- Students choose?
- Direct Loans for certain students only?

## Get Going: Operational Decisions

- What options will best serve your students?
- What offices will be involved in the process?
- What will their roles be?
- Staffing levels sufficient to support operational decisions?
- Who will conduct your reconciliation?
- Who will work your rejects/resolve processing issues?

## Get Going: Operational Decisions

- How will you process records?
- Process yourself
- Software?
- Technical support?
- How will you back up your data?
- Production schedule?
- Third Party Servicer

## Get Going: Tools and Resources

- COD Web site: COD.ed.gov
- View records submitted to COD
- Submit new records
- View batches
- Correct rejected records
- Research issues
- Retrieve school reports

## Get Going: Tools and Resources

- COD Web site
- Access DL Servicing Web site
- Computer based training (CBT)
- Access:
- Security Administrator
- Request letter to:
- U.S. Department of EducationAttn: COD Web AccessCOD School Relations CenterP.O. Box 9003Niagara Falls, NY 14302

## Get Going: Tools and Resources

- COD School Relations
- Attend session 19:
- A Day in the Life at the COD School Relations Center
- Phone:  1-800-848-0978
- E-mail: CODSupport@acs-inc.com

## Get Going: Tools and Resources

- DL Tools
- Cash Management Tools
- Reconciliation
- Rebuild

## Get Going: Tools and Resources

- Direct Loan Servicing
- Session 41 - Late Stage Delinquency Assistance
- Entrance and Exit Counseling
- School Services: 1-888-877-7658
- Borrower Services: 1-800-848-0979
- Web site: www.dl.ed.gov

## Direct Loan Servicing

## Get Going: Tools and Resources

- Direct Loan Consolidation
- School Services page
- Borrower Services page
- Phone: 1-800-557-7392
- Web site: www.loanconsolidation.ed.gov

## Direct Loan Consolidation

## Get Going: Tools and Resources

- School Portal: fsa4schools.ed.gov
- Resources and training
- Publication ordering
- Access to student data
- Participation and Funding
- Much more

## School Portal

## Get Going: Tools and Resources

- Borrower Publications
- Direct Loan Basics
- Entrance and Exit Counseling
- To order visit:
- www.fsapubs.org

## Get Going: Tools and Resources

- School Publications
- COD Technical Reference
- Implementation Guide
- Direct Loan School Guide
- Blue Book
- Financial Aid Handbook
- NSLDS Enrollment Reporting Guide

## Get Going: Tools and Resources

- Visit: http://www.ed.gov/offices/OSFAP/DirectLoan/index.html
- School
- Borrower
- Sign up for:
- DL listserv
- DL Bulletin e-mail (through COD Customer Service)

## Direct Loan Web site

## Other Direct Loan Sessions

- Session 40	Hands On Tour of  DL Tools
- Session 41	Best Practices in Using DL LSDA
- Session 42	DL Funding & Cash Management A-Z
- Session 43	Best Practices for Processing DL at Your School
- Session 44	Direct Loans A – Z
- Session 46	What’s New in Direct Loans: Grad PLUS and 			other HERA Related Changes
- Session 47	Direct Loan Reconciliation and Closeout
- Session 48	Direct Loan Reports & Reference Materials-Tools 		of the Trade
- Session 49	How Direct Loan Servicing is Improving the 			Financial Aid Experience for You and Your 			Students

## Contact Information

- We can be reached at:
- Gail McLean-Campbell
- Phone: 202-377-3149
- E-mail: Gail.McLean-Campbell@ed.gov
- Lisa DiCarlo
- Phone: 202-377-3129
- E-mail: Lisa.DiCarlo@ed.gov