Federal Updates

Final rules 101: general provisions
The financial aid community has been abuzz with discussions about the impact of the final rules for loan programs. While the final rules for general provisions have perhaps attracted less attention, they will also effect changes to a variety of financial aid processes. In this article, we will review changes to the general provisions, all of which will be effective July 1, 2008, unless implemented earlier at the institution's discretion.

TG Updates

Reminder: TG offers free teleconference on the loan issues final rules
Don't forget to participate in TG's upcoming free teleconference on the November 1 final rules for the Title IV loan programs. The teleconference will include a summary of the rules and a discussion of the major provisions that will impact students, borrowers, schools, and lenders.

The debt fix: TG's November Edufacts™ focuses on the need for good money management among students
For many graduates, a form of sticker shock sets in once they pick up their degree. Fresh out of college, it is not uncommon for student loan payments to represent the largest financial obligation many graduates face. Given the prospect of having debt and a lengthy repayment period, students need to be savvy money managers early on.

Trends and Issues

Seven things to teach your students about credit card use
Working with students each day, you understand the temptation that credit cards pose and the need to regulate their use. If you’re providing information to students on how to manage their finances, you may consider offering a few “best practices” for handling credit cards.

Correction to previous Shoptalk Online edition
In Shoptalk Online, edition 396, the Question of the Week included inaccurate information regarding the treatment of certain loan discharge amounts for federal income tax purposes.

Question of the week
If a borrower is eligible for a late disbursement of loan funds, must the school offer and deliver such a disbursement to the borrower, or does the school have any discretion in this matter?

Common Manual

Common Manual Updates
Information on recent updates to the Common Manual.

This, That, and the Other...

Online retail is experiencing something of a boom these days, thanks in part to the relative ease in procuring and using a credit card. More students are succumbing to the temptations of online retail — some two-thirds of them own a credit card and use it, adding more debt to the high balances many graduate with, according to the Project on Student Debt.

What do students spend their "credit dollars" on? A recent New York Times article surveyed some of the items flowing into university mailrooms across the country and found that students were ordering an astonishing variety of goods. Here's a sampler of products sent to students at the University of Southern California: an ant farm, an air-conditioner, and a BBQ-grill; and to the State University of New York — a dish washer, pool table, refrigerator, and car muffler.

The flood of items is causing some universities to beef up their mailrooms, which costs money. Colleges are investing in bar code scanning and package tracking systems, expanding facilities, even adding security staff.

Read the complete article at www.nytimes.com/2007/11/21/education/21mailroom.html?adxnnl=1&adxnnlx=1196716661-cBkJ3sIXz3umimwd1zMRKw.