Banner Financial Aid

Direct LoansPresenter - Carol Linsley, Sungard Higher

Education Consultant

Agenda

• Set-Up Reminders• What’s New Banner 8.7 and 8.8• Making Changes• Reconciliation• Resources• Question and Answer

Direct Loan

Set-Up Reminders

ROAUSIO (US Specific Institutional Options Form)

Loan Options Tab

•Select Loan Process Type of Both (or Direct) – this tells Banner what processes to run for online loan creation from the award forms. It Does not affect batch processing •Indicate Multi-Year Note Eligibility

•Enter Stafford Entrance and Exit Requirement Codes and Status

RFRMGMT (Funds Management Form)

Allows students to accept the loans via Self-Service

RFRMGMT Funds Management Form - Packaging Tab

Loan Options for Self Service Tab-Check Display PN Requirement on Web-Enter Promissory Note Description-Enter URL-Enter Instructions

Loan Options Tab-Select Direct Loan Indicator -Enter Rebate Fee Percentage-Enter Loan Fee Percentage

RTVLNST (Loan Status Validation)

Prevents disbursement memos.

“Hold” codes stop processing until removed.

Create Loan Statuses

Note: Initial Loan Status should be Active

“Info Access” permits loans to appear in Self-Service

• The COD records must contain the state and nation codes from these validation tables– RTVCDST – COD State Codes– RTVCDNT – COD Nation Codes

• If the institution uses other codes for states/nations, the crosswalk field on GTVSDAX can be updated to translate for COD

• REREXxx process will translate the school’s codes to the correct values needed for COD

• Direct Loan Setup (cont.)

GTVSDAX/RTVCDNT Crosswalk

GJAPDFT for Loan Application Creation

• Use the GJAPDFT form to create the parameters for the RPRLORC Loan Origination Process for each user

• This enables the user to create the origination record by clicking on ‘Create Loan Applications’ in the options menu on the award form (RPAAWRD)

• Default parameters must exist for each user who has authority to create loan applications on-line

• Parameter set can be copied from one user to another

GJAPDFT – Default Parameter Value Validation

Origination ActivityBatch Posting (Optional)

• Banner uses the RNANAxx record for Year In College when determining loan amount when awarding the loan and creating the loan origination.

• Population selections may be used to batch post a value to the Year in College field on the Need Analysis form (RNANAxx) before creating loan records to ensure correct academic level for origination

Direct Loans

Managing LoansDay to Day

3 Steps to Booking a Loan• A booked loan is the point at which an obligation has been

established between the borrower and the ED to repay a Direct Loan

• There are 3 basic components that must be established before a loan is declared as booked by ED:– Loan Origination Record in ‘A’ Status– MPN in ‘A’ Status– First Actual Disbursement Record in ‘A’ Status

• Once COD has received and accepted a loan origination record, a completed and signed promissory note, and a disbursement record, it books the loan. COD will send you a Booking Notification file CRBNxxOP

View Booked Loans - RPALORG

Booking Information

-Options Menu

-Select Booking Information

Direct Loan - Release 8.8 Update

Parent Data Window Still a DefectAll edits related to the Loan Default indicator have been removed. Starting with the 2010-2011 Aid Year, you are no longer required to enter the Parent Loan Default indicator (RPRLAPP_PAR_IN_DEFAULT) when saving Parent PLUS loan records.

Changes made to support longer column lengths of the updatedDirect Loan Unmatched Application Temporary Table (RPTAUPP).

RPALORG –Credit Action OptionModified to update RPRLAPP_CR_ACTION_OPT (new Credit Action field) on RPALORG when a PLUS Application record is manually matched from the form.

RPAUCOD Unmatched COD Records Form

New Credit Action field added; Loan Status field moved

Origination Activity - REREXxx Process

• New in 8.7 Release REREXxx extracts loan originations to be sent to COD for all records in a Ready or Not Ready or Both status on the RPALORG form

• Can be run by fund code or with population selection to exclude selected students

• Can be run to extract all Direct Loan activity, changes only, or loans without changes

• Output– crdlxxin– Transfer File to PC to send to COD via EdConnect

• REREXxx Process updates the REICODD form

Note: Although you can extract grants and loans together and get a craaxxin output file, SunGard highly recommends that grants and loans be extracted separately

Origination Activity - RERIMxx Process

• COD returns file as crdlxxop• RERIMxx loads incoming file into Banner• Forms updated with this process

– RPALORG– REICODD– REASTID (if necessary)

PLUS Loan Processing

• Parent and Graduate PLUS Loans require a credit check – New for 1011 – PLUS Borrower can initiate this process directly

with COD online and school will receive this information electronically and upload this into Bannero Information will be received in a CRSPxxOP message class and will load

into Banner Parent can initiate the Credit Check when completing the application at COD

– School can do the credit check online with COD if received written statement authorizing the school to do this credit check. This credit check is valid for 90 days.

– School can send in origination without a prior credit check and COD will do the credit check. Parent/Student signing the MPN authorize the credit check.

Matching PLUS Apps on RPAUCODWhen PLUS applications are imported, they are matched to RERSTID (REASTID

COD Identifier) or RCRAPP1 to find the matching student PIDM.

Matching Student ? If No then: the application data is imported to the RPTUAPP table with a NULL PIDM (reviewed on RPAUCOD)

Matching Student ? If Yes then: 1. Match to existing Direct Loan origination record RPALORG

2. No matching origination record? Then the application data is imported to RPTUAPP with the PIDM populated for the matching student (reviewed on RPAUCOD)

Data imported to RPTUAPP/RPAUCOD can be manually matched or can bematched by RPRLORC when a matching Direct Loan originationrecord is created. When the record is matched, the data is updatedto the matched RPRLAPP record and deleted from RPTUAPP table.

Manual Matching - RPAUCOD

• Data imported to RPTUAPP/RPAUCOD can be manually matched to the correct student ID.

• Running RPRLORC for the student will match the student.

• When the record is matched, the data is updated• to the matched RPRLAPP record and deleted from

RPTUAPP table.

RPAUCOD - Entrance Activity – XML File Format

COD will send the Entrance Counseling Information in XML file format (CRECMYOP)

When these records are imported, they are matched to RERSTID (REASTID COD Identifier) or RCRAPP1 to find the matching student PIDM.Matching Student? If No then: Entrance counseling data is imported to the RPTUECS/RPAUCOD table with a NULL PIDMMatching Student? If Yes then: thedata is imported into the RPRLECS table and tracking requirement is satisfied (if it exists on RRAAREQ)

Manual Matching - RPAUCOD

Data imported to RPTUECS table can be manually matched on the RPAUCOD form and data is then updated to the RPRLECS table and deleted from RPTUECS. (Tracking requirements will not be updated when match manually, you will need to update your tracking document.)

Disclosure Statement Printing - RPRDSPT Process

• Schools usually request COD print the Disclosure Statements but if necessary a school can print them using the RPRDSPT Disclosure Statement Printing job.– If first Origination is reported to COD within less

than 5 days of first disbursement date school should print disclosure

• Request Reprinting on the RPALORG form

Disclosure Printed by COD

DL Change ActivityRPEDISB

If making a change toDisbursement, you must

also run the disbursementprocess

Create change information

RPALORG

Updated by changes made onRPRLORG

RPADLCR

REREXxx

Create change extractfile CRDLxxIN

RERIMxx

Import originationacknowledgement

file into Banner

FTP CRDLxxINfile to local PC.

Send file to COD

Receive acknowledgement FTP CRDLxxOP file to DATAHOME directory

Records that were extractedare now removed from form

RPADLCR

REICODD

Updated withbatch information

RPALORGREICODD

Updated with data from acknowledgement file

Start

What is a Direct Loan Change?• Remember!

– If an Origination was NEVER accepted, updates to RPALORG are not changes, they are updates to Originate. COD does not have any record on their system if an Origination was not accepted.

– To make changes before Origination is Accepted make any necessary

changes on RPALORG. put the loan in ‘Ready to Send’ status and REREXxx will extract the Origination again to see if it can be accepted.

– Once an Origination has been accepted by COD it will be visible on COD and everything from this point forward becomes a CHANGE.

– Wait to make changes in Banner until the Origination is Accepted (some changes cannot be made till Origination is returned).

Change Activity

• RPADLCR – Change Form– Changes are made on the RPALORG Direct Loan

Origination form and automatically show on RPADLCR Direct Loan Corrections Form

– Changes may be reviewed/deleted on the RPADLCR form before extracting

– Changes are specifically geared to origination activity

Note: Disbursement adjustments go out as either positive or negative disbursement records, not as DL Changes

How to Make Direct Loan Changes

1. Update award on RPAAWRD2. Update RPALORG Direct Loan Origination3. Run RPEDISB4. Extract change records with REREXxx5. Transmit file to COD6. Receive receipt/response files7. Transfer to Datahome directory8. Import receipt/response files with RERIMxx

Review Direct Loan Changes

• RPADLCR Direct Loan Corrections – view changes pending extract– Check the delete box to remove pending change before

extracting– All pending changes are deleted once extract is run– NOTE: changes for loan period start AND end dates log

regardless of which one was changed– Change to a Loan Amount will log the amount and a

disclosure statement print flag for COD

RPADLCR (Direct Loan Corrections Form)

Extract/Import Changes

• REREXxx Extract Process– DL Records to Extract parameter options

• B Extract all records• C Extract only records with changes• O Extract only records without changes

– Updates RPADLCR Direct Loan Corrections, REICODD COD Document Control, ROAALOG Applicant Data Log Applicant

– Output:• CRDLxxIN• Transfer File to PC to send to COD via EdConnect

Extract/Import Changes

• ROIALOG/ROAALOG Review changes• Change files are received through EdConnect

and upload into Banner– Message Class:

• CRDLxxOP

RERIMxx Import Process– Updates RPALORG Direct Loan Origination, REICODD,

ROAALOG– Always review records returned with reject messages

Sample Changes

• Change to Loan Amount before Origination is Sent

• Changes when Loan in Sent Status• Loan Increase after Disbursement• Loan Decrease after Disbursement

Refer to the SunGard 1011 COD Handbook for more information on Direct Loan Changes

Change Loan Amt before Origination is Sent

• Make change to award on RPAAWRD and run RPRLORC either on-line or in batch

• RPRLORC will delete and replace the existing origination record if:– The promissory note has not been manually updated– The record is not locked

• If the promissory note status has been manually updated, then the change must also be made manually on RPALORG Direct Loan Origination by changing the gross disbursement amount(s) on page 3

• If record is locked, the record must be manually unlocked on RPALORG Direct Loan Origination and then the gross disbursement amount(s) manually changed on page 3

Changes once Loan in Sent Status

• When record is in ‘Sent’ status changes can be made to:– grade level on page 1– Promissory note status on page 2– student demographic data on page 4

These changes will be logged on RPADLCR but will not be extracted until the record is no longer in Sent status

Increase Loan After Origination

• Note: You can increase a current origination or create a new origination for the difference

• Increase the amount of the accepted loan on RPAAWRD and

save. • Click on ‘Create Loan Application’ on the Options menu to run

the RPRLORC process on-line (or run in batch to pick up the new loan.)

• A new loan application has been created on RPALORG for the additional amount of the loan and will be picked up in the next run of REREXxx

Loan Increase after Disbursement

1. Increase the award on RPAAWRD2. Increase the approved amount on page one of

RPALORG Direct Loan Origination3. Increase the disbursement amounts on page 3 of

RPALORG Direct Loan Origination by inserting a record and enter a positive gross amount

4. Run RPEDISB to adjust disbursements to student accounts

5. Run REREXxx to extract the changes

Loan Decrease after Disbursement

1. Decrease the award amount on RPAAWRD2. Decrease the disbursement amounts on page 3 of

RPALORG Direct Loan Origination by inserting a record and entering a negative gross amount

3. Reduce the approved amount on page 1 of RPALORG Direct Loan Origination

4. Run RPEDISB to adjust disbursements to student accounts 5. Run REREXxx to extract the changes6. If downward adjustments result in excess cash, the funds

must be returned to COD unless the school can disburse the funds to another borrower during the required timeframe

Logging Changes - RORDATA

• RPALORG Direct Loan Origination Direct Loan Origination– changes update ROBALOG directly, no logging switch needed on ROAINST

• RORDATA Data Log Rules – fields that will be automatically logged are listed on this form (SGHE delivered)

Logging Changes - ROAALOG

• Direct Loan changes are logged and acknowledged on ROAALOG– Can see status updates on ROAALOG – Can use the Resend feature to send individual

changes back for processing

• Logged changes are visible on these forms as an audit trail– ROIILOG Data Log Inquire,– ROIALOG Applicant Data Log Inquiry– ROAALOG Applicant Data Log Application

Logging Changes - Resend

ROAALOG Applicant Data Log Application – check resend field to resubmit a change

– Change status of ‘S’ after extract– Change status of ‘A’ or ‘R’ after acknowledgment loaded

Changes Log to ROAALOG

Direct Loan

Direct Loan Reconciliation

DIRECT LOAN RECONCILIATION• What constitutes Reconciliation?

– Ending Cash Balance of -0-– School’s cash drawdowns should equal booked disbursements, less

cash returned– If not equal, school should be able to identify and justify any

differences

• Monthly reconciliation is required as part of the Direct Loan Program

• Keeping on top of all and resolving all rejected originations/disbursements/student identifiers as you process Direct Loans daily will help considerably in the monthly and year end reconciliation process.

DL Reconciliation Process

RPRDUxx

Upload files to Banner

COD sends SAS for prior month’s transactions

Receive fixed length SAS files on local PC via

EDConnect

Start

DSDFxxOP.DATDSLFxxOP.DAT

Transfer files from local PC to Banner server

RPIDLAS

RPALORG

RPACASHUpdates

Use Institutional procedures to reconcile SAS data with Business

Office records on a monthly basis

SAS – School Account Statement

School Account Statement Activity

• SAS files are received via EDConnect and uploaded into Banner– DSDFxxOP.DAT– DSLFxxOP.DAT

• Banner supports only these message classes for SAS file

Reconciliation Activities

• Reconciliation Activity Forms– RPACASH

• Direct Loan Cash Drawdown Form

– RPIDLAS• Direct Loan Account Summary Form

RPACASH (Cash Drawdown Form)

• Enables you to record the drawdown of cash from the Department (ED) and record the return of excess cash to the Department– This must be manually entered after each drawdown

so the SAS will load in accordingly

RPACASH (Cash Drawdown Form)Many schools choose to allow the staff member in charge

of drawing down funds via G5 to update this form. Manually Enter:DateAmountAid YearActionR – Receipt of FundsX – Return of FundsGAPS Control NumberCheck Number – if Return of Funds by check

Remaining fields are populated by upload of dsasxxop.dat file(School Account Statement) if RPACASH is entered correctly.

RPIDLAS - Account Summary Form

Displays account

summary detail

directly from the

SAS Report

Direct Loan Reconciliation

DL Reconciliation Process in Banner• Compare FA totals in Banner to COD Totals –

identify differences• RERCDxx

– Report of detailed data for originations and/or disbursements by Document ID

– Report of unsent origination records

Direct Loan Reconciliation Compare FA totals to Finance Totals – Identify differences• Forms

– ROAMGMT – Funds Management– RFIBUDG – Fund Budget Inquiry– RPACASH – Direct Loan Cash Drawdown– FGITBAL – General Ledger Trial Balance– FGIBDST – Organization Budget Status

• Reports– RFRABAL – Account Balance– RFRBUDG – Fund Budget– FGRTBAL – Trial Balance– FGRGLTA – General Ledger Detail Transaction

RPRCPxx Direct Loan Compare RPRCPxx is used to extract required data used with the

‘Compare reports for the SAS files’ using the Direct Loan Tools for Windows software.

• Files that are exported include:– DLEXCASH — Provides data about the cash summary Note: the drawdowns that

the school has made in G5 must be manually entered: date, amount, aid year, receipt or return and GAPS control number. The Batch ID will populate when the DSDF file is loaded to Banner but only if there are exact matches to what's on RPACASH.

– DLEXLOAN — Provides a summary of loan disbursements– DLEXDISB — Provides data related to individual disbursement transactions– Note: The Direct Loan Tools for Windows software is available via the FSA

download Web Site. Instructions for installing, using, and support of the software are available there. This software is not supported by SunGard Higher Education. https://www.fsadownload.ed.gov

Direct Loan Tools can be used for monthly reconciliation as well as year end reconciliation.

RPRCPxx Direct Loan Compare Reconciliation Process

• Run Banner Direct Loan Compare Extract (RPRCPxx) using the end date of the reports as the Matching End Date parameter

• This produces the Cash Summary shown below, and the DLEXLOAN.DAT, DLEXCASH.DAT and DLEXDISB.DAT files to be used per the instructions on using the LOC Compare Application

Direct Loan Reconciliation•Sample Procedures are as follows:

1. Monthly, COD will send SAS (Statement of Account Summary) files with message class dsdfxxop.dat and dslfxxop.dat. Download these files via EDCONNECT

2. FTP these files from the IAM data folder and move them to Banner data load directory. Make sure they have the above file names. (transfer in binary mode)

3. Run RPRDUxx: If you have more than one file of the same type, load the first one, then rename the second one to have the .dat extension and load that file next.

4. Go to RPIDLAS and find the Statement End Date. This date will be used in the next process in the parameters and will be used in DL Tools reporting.

Direct Loan Reconciliation5. Run RPRCPxx to create the following extract files:

• DLEXCASH – Provides cash detail records• DLEXLOAN – Provides loan detail records• DLEXDISB – Provides disbursement detail records

6. FTP these files from the Banner Server to your IAM Data folder7. Open DL Tools: SYSADMIN/password8. Choose File/Import and import the following files (choose the

appropriate file type for each one in the dropdown menu): Click on “File” and look in “data”. Select the file and then click on “ok” then “print”.

• dsdfxxop.dat (under SAS)• dslfxxop.dat (under SAS)• DLEXCASH• DLEXLOAN• DLEXDISB

Direct Loan Reconciliation9. Once all files are loaded into DL Tools, run the comparison reports by

choosing File/Print• Cash Detail Comparison Report• Disbursement Detail Comparison Report• Loan Detail Comparison Report

Review output and determine if the unmatched are due to a timing issue (date similar to statement end date) or if it is something that needs to be resolved.

10. Go to the RFIBUDG in Banner and enter the DL fund codes (for the appropriate award year) and screen print the summary. Perform this action for all of the DL funds. Add up the total loans paid as of that date.

11. Log in to the COD website. Click on the School tab and type in the school name. Choose Direct Loans for the program and the appropriate award year. On the left side, click on “Summary Financial Info” and print the summary.

12. Compare the total from #11 with the amount in “total net booked disbursements” found in the printout from #12. At the end of the school year these two amounts should be the same.

Note: Keep all documentation and justification for the discrepancies as this is a federal requirement.

Direct Loan Reconciliation

DL Reconciliation Tips• Timing Issues – possible to not be in balance at any given time

due to the timing of drawdowns, submission of disbursement records and adjustments

• Key is to identify reconciling records

• Closeout letter– Compares G5 Cash Balance to COD Booked Disbursements– Received from the Department of Ed once year is complete– Successful Closeout declared if equal

• RESOURCES TO REVIEW:– SGHE Publication “2010-2011 COD Handbook”

– Banner Financial Aid Direct Loans Training Workbook

– Loan Processing Chapter 2, Banner Financial Aid User Guide

– Annual COD Spring Banner Financial Aid Release contains updates for federal loan processing

• Direct Loan Resources

School Resources• http://www.edu1world.org/CommonsBannerFinAid - 2010-2011

COD Known Issues

• https://www.fsawebenroll.ed.gov/PMEnroll/index.jsp– To update SAIG mailbox enrollment

• https://www.g5.gov– To set up school to receive funds via GAPS

• http://www.ed.gov/offices/OSFAP/DirectLoan/participating.html – For full directions on becoming a DL participant

• http://www.ifap.ed.gov/eannouncements/1007CODUpdatedCBTDoc.html– For COD Computer Based Training

Questions and Answers

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