mapping your future ® and meteor™ where is my student loan? presented by: cathy mueller mapping...

Mapping Your FutureMapping Your Future®® andand

Meteor™ Meteor™

Where is my Where is my student loan?student loan?

Presented by:

Cathy MuellerMapping Your Future

Tim CameronMeteor

Mapping Your FutureMapping Your Future

A valuable resourceA valuable resource

• Provides services to schools for ultimate benefit of student

• Loan counseling meets regulatory requirements and does not limit student choice of lenders, guarantors

A valuable resourceA valuable resource

• Provides variety of resources for students and families– Career exploration– College preparation– Paying for college – Money management

• Provides neutral content and encourages students to look at all sources of free funding

Help students track debt Help students track debt in this new landscapein this new landscape

Split servicingSplit servicing

• Student changed lender/guarantor to take advantage of benefits

• Student consolidated while in-school to lock in a low fixed interest rate

• Student transferred to a new school• School switched from FDLP to FFELP

or vice versa• Lenders suspended student loans

Legislative changesLegislative changes

• Ensuring Continued Access to Student Loans Act (ECASLA) – Loan Participation Purchase Program – Loan Purchase Commitment Program

• Term Asset-Backed Securities Loan Facility (TALF)

• Higher Education Opportunity Act (Servicemembers Civil Relief Act)

Communication overload!

Impact to studentImpact to student

• Multiple servicers to single student• Status change notifications, privacy

notice, 1098-E• Delinquency letters, phone calls, e-

mails• Single student to multiple servicers• Changes in address or phone

number• Payments• Requests for deferment,

forbearance

Impact to studentImpact to student

• Payment schedule complications– Multiple payment due dates– Multiple payment methods – Potential loss of extended repayment

options

• Deferment and forbearance complications– Inconsistent deferment documentation

standards– Inconsistent forbearance period

maximums

SolutionSolution

Each of these “hurdles” is easily addressed so long as the borrower knows who their lenders/servicers are and how to get in touch with them.

So, WHERE is my loan?So, WHERE is my loan?

The Meteor projectThe Meteor project

The Meteor projectThe Meteor project

• Non-proprietary, open- source software that brings together data from distributed databases across the higher education financing community

• Anyone can participate!– Lenders– Guarantors– Servicers– Schools– U.S. Department of Education– Others

ApprovalApproval

FSA approval for use of real-time data•Collaborative effort to bring about change to the requirements for schools to solely rely on NSLDS data•Allows schools to resolve discrepancies by using real-time data that comes directly from loan holders' databases

FeaturesFeatures

• Access real-time, student-specific financial aid information from multiple sources with intuitive user interface and navigation

• Currently provides real-time, detailed information on FFELP and alternative loans (capability exists to include Direct and Perkins Loans)

How Meteor worksHow Meteor works

Participant typesParticipant types

• Access Providers (AP)• Authentication Agents (AA)• Data Providers (DP)• Index Providers (IP)

One

Two

Access Provider

Data Providers

Student/Borrower or

Financial Aid Professional

orAccess Provider Representative

orLender Three

Index Provider

UsersAuthentication (by AP or AA)

Meteor processMeteor process

Data available Data available through Meteorthrough Meteor

Meteor and the National Meteor and the National Student Clearinghouse: Student Clearinghouse:

campus-based campus-based authenticationauthentication

Authentication modelAuthentication model

• Schools that have entered into electronic services agreement with Clearinghouse act as Authentication Agents

• Students' campus-issued credentials utilized to access Meteor and other Clearinghouse services via Student Self-Service website

Student Self-ServiceStudent Self-Service

• Meteor is integrated into Clearinghouse’s Student Self-Service application

• For schools that wish to provide students with Meteor access, Meteor loan detail is incorporated into LoanLocator display

Online award letter pilotOnline award letter pilot

• Will serve as debt management tool (borrowing history presented BEFORE new award is accepted)

• Ensures borrower is aware of potential impact of increasing aggregate loan amount– Total current outstanding– New total outstanding with addition of

new loan– Repayment scenarios based on

aggregates

Help your studentsHelp your students

Remind students how successful repayment can be accomplished• Keeping good records• Staying in touch with loan holders• Maintaining strategy for repayment

Get more informationGet more information

• Interactive website www.MeteorNetwork.org – Audio presentation– Interactive demonstration version of

software– Link to Meteor project site

• Project documentationwww.NCHELP.org/Meteor.htm – Implementation information– Provider list– User Guide and other documentation

Online Student Online Student Loan CounselingLoan Counseling

FeaturesFeatures

Counseling sessionsCounseling sessions

Counseling sessionsCounseling sessions

Meet regulatory Meet regulatory requirementsrequirements

RequirementsRequirements

• Maintain documentation• Sample repayment information• Respond to questions• Stafford exit data to guaranty agency• Written repayment information to

Perkins borrowers• Provide contact information• Definition of half-time enrollment• Appropriate offices if withdraw

RequirementsRequirements

• Prevent borrowers from circumventing or exiting counseling before complete

• OSLC team and staff continue to monitor regulations

DocumentationDocumentation

• Paper records– Daily records– Reports tab

• Export• Automated method

Archive policyArchive policy

• Mapping Your Future isn’t record keeper

• Archive policy– One year of data online– Two prior years available by customer

service request– Prior data is unavailable

Sample repaymentSample repayment

• Stafford entrance– Range of indebtedness or – Average indebtedness of borrowers

who obtained Stafford Loans for attendance at school or in program of study

– If student borrows Stafford AND Grad PLUS loans, sample repayment amount based on average indebtedness must include both Stafford and Grad PLUS indebtedness

Sample repaymentSample repayment

• Grad PLUS entrance– Range of debt levels or – average indebtedness of Grad PLUS

borrowers at school or in program of study

– If student borrows Stafford AND Grad PLUS loans, sample repayment amount based on average indebtedness must include both Stafford and Grad PLUS indebtedness

Sample repaymentSample repayment

• Stafford exit– Borrower's actual indebtedness or – Average indebtedness of borrowers

who obtained Federal Stafford or SLS loans at school or in program of study

– If student borrows Stafford AND Grad PLUS loans, sample repayment amount based on average indebtedness must include both Stafford and Grad PLUS indebtedness

Sample repaymentSample repayment

• Display information with monthlypayment amount at maximum interest rate – With instructions to borrower– On your website– On customized counseling start page– Use indebtedness customization

ExampleExample

IndebtednessIndebtedness

Mapping Your Future Mapping Your Future with Meteorwith Meteor

First stepFirst step

The student chooses an Access Provider site

Guaranty Agencies

Schools

Lenders

Servicers

Secure connectionSecure connection

Guaranty Agencies

Schools

Lenders

Servicers

Borrower optionsBorrower options

• Enhanced exit counseling integrates borrower's loan information in real time into exit counseling session. Option requires that student has a PIN from the service provider (NYSHESC)

• Allows borrower to continue process without PIN and complete exit interview without benefit of seeing real-time loan data

AuthenticationAuthentication

User authenticated and sent to Mapping Your Future to complete counseling

AUTH

Guaranty Agencies

NSC

Schools

Lenders / Servicers

Detail screen displaysDetail screen displays

Counseling stepsCounseling steps

• Reads content and answers questions • Read and acknowledge Meteor

disclaimer• Views Meteor data (customized

screen)• Views calculator (debt/salary wizard)• Completes form, providing required

data • Views, prints confirmation page • Chooses to view complete Meteor

data

BenefitsBenefits

• Default prevention• Value-added service for schools and

students• Cost-benefit calculation for

organization• Effective process to meet regulatory

requirements

ProcessProcess

• Requirements for guarantors– Have authentication process in place– Be Meteor Access Provider– IT resources for development

• Requirements for schools– Participate in Online Student Loan

Counseling– Determine if primary service providers

are Meteor participants– Must be Meteor Access Provider or

have relationship with Meteor Access Provider

CustomizeCustomize

CustomizationCustomization

Counseling start pageCounseling start page

• School-specific information– Dates– Disbursement procedures– Refund policies– Sample repayment*– Contact information*– Withdrawal contacts*– Half-time definition*

• Template• One per session

Counseling start pageCounseling start page

• Options– Wizard—create a new page– Edit—edit existing page– Submit—Submit page for approval

• School logo (insert URL in image box)• Type text directly into Pagemaster• Save changes every 15 minutes• Link to page

Counseling start pageCounseling start page

Future of OSLCFuture of OSLC

• Reengineering database• PESC Online Loan Counseling

standard• Financial literacy counseling• Future releases

Get more informationGet more information

feedback@mappingyourfuture.org(573) 796-3730

Cathy MuellerMapping Your Future(940) 497-0741cathy@mappingyourfuture.org