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TG Updates

Shoptalk Online 485, January 6, 2009

TG Updates

TG receives guidance on return of loan funds under the Loan Purchase Commitment Program

Under the recently implemented Loan Purchase Commitment Program established by the Ensuring Continued Access to Student Loans Act (ECASLA) of 2008, certain fully disbursed loans may be 'put,' or sold, to ED. TG recently requested that ED clarify if the communication of changes and returns of FFELP funds on those loans can be facilitated by the same EFT processes currently in use in the FFELP, or if schools will need to issue paper checks to complete some of these returns.

In response, ED has indicated that at this time it does not support the use of the EFT processes currently in place with FFELP guarantors, lenders, and servicers. Instead, ED's servicer works directly with the selling lender and its servicer to receive and process returned or cancelled funds in a specified manner for post-sale adjustment transactions. Although TG will continue to pursue a more comprehensive solution with ED, we wish to make schools aware of what to expect at this time when initiating cancellations or returns of funds on FFELP loans that have been put to ED by lenders.

Until TG receives and processes information from the ED servicer confirming that a FFELP loan has been successfully put, ending the guarantor's direct involvement in subsequent loan adjustment activities, TG's processes remain active and our EFT process can be used to facilitate returns, cancellations, and other types of adjustments. After that time, TG's system is updated to reflect that the loan is in an "AE — Assigned to ED" status that prevents further transaction processing as the guarantor of the loan. TG will be able to receive and process transactions from the school until the put notification process is complete. After that time, the school will work directly with the lender that held the loan to communicate post-sale transactions to ED's servicer.

TG is also preparing to implement an improvement to the process of returning funds on put loans. As the Central Disbursing Agent (CDA) for loans using TG's EFT process, TG plans to be able to return funds electronically to the selling lender to pass the funds along to ED's servicer after the loans are in a put status, thus eliminating the need for paper checks to return funds. Although no completion date has been set at this time, analysis of the requirements to make this change possible is underway, and TG will provide an update as soon as possible.

More information
For questions, please contact TG's product support team at product.support@tgslc.org, or send an e-mail message to Bonnie Brinkley, assistant vice president of guarantee, support and reporting at bonnie.brinkley@tgslc.org.

TG introduces new online financial literacy resource — the Positive+Balance™ Community

Increasingly, schools are developing financial literacy programs to help students learn crucial financial skills. Often, finding reliable financial literacy resources can be tricky, but TG's new Positive+Balance Community can help.

The Positive+Balance Community, available at www.PositiveBalance.org, is a Web site for educators and financial aid professionals seeking financial literacy information.

The community features an online library of financial literacy resources, all of which are free and easy to download. TG's Positive+Balance presentations and training materials are available in the file library, in addition to educational resources from other reputable sources such as the Federal Trade Commission (FTC) and the Federal Deposit Insurance Corporation's (FDIC) Money Smart program. Members can also contribute their own training materials to the online file library.

"We want the Positive+Balance Community to be the go-to source for financial literacy materials online," said Margie Harvey, TG's financial literacy program manager. "We encourage others to contribute their own resources so we can make the site as comprehensive as possible. We want it to be a real community effort."

Making financial literacy easier to teach
The Positive+Balance Community is also a social networking Web site. Users can create their own personalized member profile page where they can upload photos and start a blog. Members can search for others in the community by name, job title, school location, and other criteria — even goals and interests.

Online newsfeeds keep members up-to-date with the latest industry news, and a community calendar lists information and registration details about upcoming training and industry events. Photo galleries of past events can be posted on the community calendar as well.

Membership to the community is free, but users must register to use the site. Only members can share information with each other, and each user controls how much information he or she shares with the community.

"By making it easier to access financial literacy information and by providing a forum for collaboration, the Positive+Balance Community helps educators and financial aid professionals promote financial literacy to a wider audience," said Harvey. "Any financial literacy instruments we can provide to make their jobs easier and more effective is part of our ongoing mission at TG."

To learn more
To register with the Positive+Balance Community and learn more, visit www.PositiveBalance.org.

Reauthorization resource available on TG Online

TG is pleased to announce the availability of a new resource to assist our customers in reviewing and understanding the various changes brought about by the recently-enacted reauthorization bill, the Higher Education Opportunity and Access Act (HEOA).

Based on a matrix created by the NCHELP Program Regulations Committee, this document notes the topic of each HEOA change, the section of the Higher Education Act (HEA) where the change is located, a summary of the provision, and its effective date.

Accessing the resource
The document, titled "Summary of the Higher Education Opportunity Act of 2008 (HEOA)," is available on TG Online under "More Resources" at www.tgslc.org/policy/hea.cfm. We also recommend that customers download the integrated version of the HEA, from the same Web page, as an additional reference tool.

More information
For questions about the HEOA, contact TG customer assistance at (800) 845-6267, or send an e-mail message to cust.assist@tgslc.org.

TG publishes Customer Service in Financial Aid book

What does customer service mean within the context of a school financial aid office? A new book published by TG, Customer Service in Financial Aid: Strategies to Engage Students and Make a Difference, lays out specific principles to help master the concept of good customer service and use those principles to further an institution's success with student recruitment and retention. It's the only publication of its kind written specifically for financial aid officers to help identify exceptional customer service techniques, which can be applied in their offices' daily operations.

"Customer service is a universal need in any industry," explained author and TG corporate trainer Tom Rebstock. "The real impact of poor customer service is that customers who are continually mistreated will take their business elsewhere. Financial aid offices or enrollment management departments can use the described techniques in the book to provide help in implementing or improving strategies to recruit and retain students," he added.

According to Rebstock, very little research had been done on providing customer service within academia, and virtually none within the context of a financial aid office. The research was conducted through TG's "Crafting the Keys to Customer Service" workshop, with results gathered from 56 workshops carried out in 12 states. More than 2,200 financial aid and school administrators participated and provided more than 100 suggestions for defining good customer service. Some of the suggestions included these practices:

Provide accurate and complete information.
Know all policies and regulations — the whole process.
Personalize service based on individual needs.

"TG quickly realized that helping define customer service could assist financial aid officers in their efforts to ensure success at their campuses," Rebstock explained. "The book is full of good examples of how to practice good customer service, and we will continue to gather more data on the best practices in this area."

For more information
Financial aid and enrollment offices can receive copies of Customer Service in Financial Aid when attending the "Keys to Customer Service" and "Best Practices in Customer Service" workshop sessions scheduled through TG's Speakers Bureau. Financial aid officers can also contact TG communications at (800) 252-9743, ext. 4546, or send an e-mail to communications@tgslc.org.

Mapping Your Future® features TG's Cindy Marrs as volunteer

Mapping Your Future (MYF) recently profiled TG's Cindy Marrs for her volunteer work with the organization.

As a policy advisor and trainer on industry topics for TG's Speakers Bureau, Marrs responds to questions from internal and external customers on a variety of regulatory-related issues. Many times, customers know they've read or heard something about a particular topic, but they're not sure where to find the information, or perhaps how to interpret it. Marrs will research the issue and offer a practical interpretation. The challenge of trying to understand and implement new laws, regulations, and policies can be frustrating, but Marrs finds the work gratifying, especially when she's succeeded in helping a customer.

After earning a bachelor's degree, Marrs took a data-entry job in a financial aid office. From there, she moved into a counseling position, which focused her interest in financial aid policy. In addition to policy analysis, Marrs has a passion for financial literacy harkening back to her days as a financial aid counselor. When a volunteer opening on the MYF content team became available, she knew it would be a good fit and gladly accepted when an offer for the position was made. Marrs's policy analysis has been instrumental in helping MYF implement many regulatory changes, especially those of the last year.

Marrs is dedicated to MYF's mission, which she believes provides an essential service to students. "I enjoy the collaborative nature of the teams, and I always feel like I come away from a project with new knowledge that will, in the future, help me provide even better service to the community," she said.

To learn more
Would you like to learn more about the many training opportunities TG offers through its Speakers Bureau? Visit www.tgslc.org/speakers/index.cfm to read the training catalog. Keep in mind that TG can tailor training to meet the needs of your financial aid office. To schedule a program, contact your TG regional account executive at (800) 892-1357, or send an e-mail message to relationship.management@tgslc.org.