Title: GHEAC Mardi Gras: Parade of Service 2003 GHEAC Annual Conference March 4 - 5, 2003
1GHEAC Mardi GrasParade of Service 2003 GHEAC
Annual ConferenceMarch 4 - 5, 2003
Program Reviews Regenia Jarrett, School Client
Relations Compliance Specialist Sarah Ergle,
Lender Client Relations Compliance Specialist
2Program Reviews
- Purpose of a guarantor program review
- Selection Process for reviews
- Preparation for the review
- The Program Review
- Specifics for Lender Reviews
- Specifics for School Reviews
2003 GHEAC Annual Conference
3Purpose of a Guarantor Program Review
- Department of Education mandates program reviews
- Protection for Students
- Protects federal fiscal interest
- Reduces risks
2003 GHEAC Annual Conference
4Selection Process
- How schools/lenders are chosen
- Type of review
- Survey
- Focused
- Concentrated
-
2003 GHEAC Annual Conference
5Preparation for the Review
- Have requested documentation ready
- Designate contact person for each office involved
- Make sure servicer/consultant is available
2003 GHEAC Annual Conference
6The Program Review
- Entrance Conference
- Records review
- Findings/comments
- Exit conference
- Written report, if applicable
2003 GHEAC Annual Conference
7Review Procedures Lender/Servicer
- Loan origination
- Loan sales and transfers
- Loan servicing
- Due diligence
- Consolidation loans
- Deferments and forbearances
- ED Form 799 (LARS Reporting)
- NSLDS Reporting
- Record Retention
2003 GHEAC Annual Conference
8Report Procedures
- Report is issued
- Response is due within 30 days
- If all issues resolved, report is closed
- If not, follow up will be conducted with lender
until all issues are resolved and report is
closed - Department of Education receives copies of all
reports
2003 GHEAC Annual Conference
9Common Findings for Lenders
- Improper 799 billing
- Due diligence violations
- Incorrect conversion to repayment
- NSLDS error report not processed
- Unreconciled loan sales
2003 GHEAC Annual Conference
10Specifics for School Reviews
- Institutional eligibility
- File review, student eligibility
- Review of internal procedures
- Review of RT4 calculations
- Review of cash management
- Review of financial statements
- Record retention
2003 GHEAC Annual Conference
11Common Findings for Schools
- Incorrect RT4 calculations
- Late return of refunds
- Credit balances not paid
- Overlapping academic years
- Verification not complete
- Late release of proceeds
- Exit counseling not performed
2003 GHEAC Annual Conference
12Report Procedures
- Report is issued
- Response due within 30 days
- Report is closed if all issues resolved
- If not, follow up will be conducted with school
until all issues are resolved and report is
closed - Department of Education receives copies of all
reports
2003 GHEAC Annual Conference