Peabody University Class of 2004 Senior Loan Exit Interview _____

1
Peabody University Class of 2004 Senior Loan Exit
Interview_____

• Cathy Bellomo, Wells College
• Dorothy Gilliard, Lincoln Technical Institute
• Bradley Hendrix, UC San Francisco

2
Jay Downs Siska, Ed.D.Dean EmeritusThe Peabody
University_____
3
Peabody University Class of 2004 Senior Loan Exit
Interview_____

• Cathy Bellomo, Wells College
• Dorothy Gilliard, Lincoln Technical Institute
• Bradley Hendrix, UC San Francisco

4
Current Exit Interview Requirements Things You
Must Cover

• Estimate of their monthly and total repayment
  amounts, and average debt at their school
• Repayment options available to them
• Strategies for repayment and debt management
• Cancellation provisions
• Stress the importance of repayment

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Current Exit Interview Requirements Things You
Must Cover (continued)

• Delinquency and default, and their consequences
• ED Office of the Ombudsman
• Master Promissory Note
• You must repay even if you are not satisfied with
  the education you received

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Wells College Federal Stafford Loan Default Rates

• 2001 .0
• 2000 1.8
• 1999 0.0
• 1998 3.2

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Wells College Preparation Procedures

• Request exit disclosure packets from NYS Higher
  Education Services Corporation and American
  Management Services for Perkins
• Contact a lender from our preferred lender list
  to be present at exit sessions
• Students sign up max 20 students per session
  beginning in early May

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Wells College Preparation Procedures (continued)

• Review disclosure statements for accuracy
• Prepare exit packets that contain
• Disclosure statements
• Deferment forms
• Loan/debt management resource book
• Estimated repayment schedules
• Reference information forms

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Wells College Exit Sessions

• The lender representative covers everything
  pertaining to Stafford Loan repayment options,
  deferments, cancellations, forbearances, and
  interest rates
• Financial aid officer covers everything
  pertaining to Perkins Loans
• Discuss consolidation the dos and the donts

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Wells College Exit Sessions (cont.)

• Both presenters discuss the negative consequences
  to defaulting
• Students are requested to then participate in the
  Mapping Your Future online exit counseling
  session for both Stafford and Perkins Loans.
  School receives confirmation of exit and copy of
  references.
• Send HESC reference information on those students
  who did not complete the online exit.

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Peabody University Class of 2004 Senior Loan Exit
Interview_____

• Cathy Bellomo, Wells College
• Dorothy Gilliard, Lincoln Technical Institute
• Bradley Hendrix, UC San Francisco

12
Lincoln Technical Institute Exit Interviews

• Each graduate has a personalized exit interview
• Quiz is conducted regarding their lender and what
  they have borrowed
• Personal and Confidential Statement completed
• Amortization schedule provided by lender is
  reviewed
• Should class size be large, group exits are done
• Preferred lenders are used to
• Distribute materials
• Answer specific questions
• Assist with budgeting tips

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Lincoln Technical Institute Exit Interviews
(continued)

• Entrance interview includes credit counseling
  session provided by the local guarantor
• Promote early awareness and money management
  skills
• Topics include a) balancing your checkbook, b)
  establishing financial goals, c) investing and
  budgeting, d) paying off debts and building a
  strong credit history
• New for 2003, students will be using Mapping Your
  Future for on-line counseling
• Individual counseling still provided

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Lincoln Technical Institute Exit Interviews
(continued)

• Exit counseling continues long after the student
  leaves school with our centralized Default
  Prevention Team
• Each student assistance advisor is assigned a
  list of schools and their respective students so
  we can begin a letter and phone process as soon
  as they graduate
• Helps with deferment and forbearance options
• Advisors often work with lenders and servicers to
  facilitate communication between borrowers and
  their service providers

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Peabody University Class of 2004 Senior Loan Exit
Interview_____

• Cathy Bellomo, Wells College
• Dorothy Gilliard, Lincoln Technical Institute
• Bradley Hendrix, UC San Francisco

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3 Key Components to a Successful Exit Interview

• Organize
• Communicate
• Follow up

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Questions?
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Special thanks to Dean Siska for his guest
appearance!
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Thanks for attending the Peabody University
Class of 2004 Senior Loan Exit Interview!Enjoy
the Fall Training Conference!