Federal Updates

Update on recent activity concerning the PLUS Loan Program
Of all the issues to come out of the Higher Education Reconciliation Act of 2005 (see Shoptalk Online Edition 341 for more information on provisions of the bill signed by President Bush on February 8), the most urgent for the student loan industry is the expansion of the PLUS Loan Program to graduate and professional students.

TG Updates

Because We Care Day celebrated at Texas A&M
TG joined Texas A&M University (TAMU) on February 14 to host Because We Care Day in the school's financial aid office. More than 70 members of the TAMU financial aid team gathered to kick off the financial aid season and to celebrate its role in helping students succeed. TG helped out by supplying the staff with office supplies, Because We Care buttons, and other items.

First Financial Aid Leadership Symposium a success
TG's first ever Financial Aid Leadership Symposium was a hit with a cohort of 16 participating in the week-long training event held February 6 - 10 at TG's campus in Round Rock, Texas.

AIE launches calculator feature for students, families
The Adventures In Education website (AIE) is now home to a Web-based Expected Family Contribution (EFC) Calculator to help families and students determine how much money they will be expected to contribute toward a student's educational expenses.

Question of the week
Can you give some examples of problem areas for schools during a program review?

Trends and Issues

Making the most of tax preferences in higher education
Each year, the federal government provides assistance to students and families to aid in meeting the rising costs of postsecondary education; much of this assistance is provided through Title IV student grant and loan programs authorized under the Higher Education Act of 1965 (HEA). While most Title IV programs are need-based and are used to pay for current postsecondary expenses, tax preferences — another type of assistance — are not need-based and are used to reimburse students and families who have paid educational expenses and to offset interest payments on federal student loans.

This, That, and the Other...

A new twist on identity theft is making it even harder for students to score cash for courses. Crooks are stealing students' personal information to scam financial aid.

Natalie Forbort, who works for the U.S. Department of Education said identity theft is the fastest growing crime in the United States and federal student aid also is being impacted.

Forbort said while there are no hard numbers, thieves are bilking millions in aid. She said one reason for the growing problem is the Internet.

"There (are) more applications being done online. People are sharing information online that makes them vulnerable."

In some cases, universities don't even require students to show up to get their aid, which makes it easier for identity thieves to take somebody's information and apply online. Research shows it takes an average of 14 months to uncover id theft.

Read the entire CBS 11 (Dallas) news story at http://cbs11tv.com/topstories/
local_story_048150403.html.