June 8, 2010 - Edition 557 TG
Shoptalk

Industry Update

ED outlines delinquency prevention activities offered by its four servicers
In a recent electronic announcement, ED presented a comprehensive list of borrower support activities that FedLoan Servicing (PHEAA), Great Lakes Educational Loan Services, Inc., Nelnet, and Sallie Mae provide to borrowers of Federal Direct Loans and FFELP loans purchased by ED under the authority granted the Secretary under the Ensuring Continued Access to Student Loans Act (ECASLA).

ED announces no reimbursement for 2008-09 Federal Perkins Loan Service cancellations
ED recently explained that regulations for the Federal Perkins Loan Program outline conditions under which a Perkins Loan borrower may have all or part of his or her loan cancelled for service in certain areas.

Various EDExpress modules updated for Windows
2010-11
ED announced the availability of EDExpress for Windows 2010-2011, Release 3.0. The release may be downloaded from ED’s Federal Student Aid Download website along with an installation guide and a desk reference.

TG Report

Case study offers strategies for increasing Latino college access and student success
Through its philanthropic initiative, the Public Benefit Competitive Grant Program, TG has worked with American Association of Hispanics in Higher Education over the years, funding programs designed to promote higher education achievement among Latinos. TG recently published a case study on these efforts.

Direct loans and Teacher Loan Forgiveness top list of most popular Ask TG™ questions
Ask TG™ is TG's online database of financial aid questions and answers for borrowers, families, schools, and students. Timely topics dominate the questions submitted by customers, including questions on federal Direct loan limits, qualifying for Teacher Loan Forgiveness, and managing repayment.

Policy Report

Take advantage of these online entrance and exit counseling tools
This summer, schools have to contend with dual tasks — helping recent graduates begin repayment of their loans in a challenging economy, while at the same time assisting students and parents who will be receiving their first Direct loan. Online entrance and exit counseling may provide help. Resources for counseling are plentiful.

Smart Solutions
Graduating students with student loans may have questions about which repayment plan best suits their financial needs. Provide them with a concise overview of the various repayment plans, including the Standard, Extended, Income-Based, Income-Sensitive, and Graduated plans.
News Briefs

Why students do or don’t remain in college has been an ongoing subject of research. A recent study conducted at the University of Maryland at College Park offers a potential way to better predict student retention. In a paper presented at a meeting of the Association for Institutional Research, two graduate researchers drew a correlation between enrollment and attitude toward the school. Generally, the more positive a student felt about the school, the more likely the student would be to remain enrolled through graduation. To gather findings, the researchers inserted a statement into a freshmen survey that is administered two months into the first semester. Students were asked to complete the statement, “At present, your general attitude toward the University of Maryland is …,” by choosing from five responses ranging from strongly negative to strongly positive. Results indicated that students often knew within two months whether the university was a good fit for their academic needs. Learn more about the University of Maryland study.