August 31, 2010 - Edition 569 TG
Shoptalk

TG Report

TG to offer sessions on cohort default rates and student loan repayment at this year's TASFAA Conference
As the industry shifts from a 2- to a 3-year cohort default rate in the midst of an economic downturn, many schools are focused on enhancing their default prevention efforts. TG will present two sessions on default prevention topics at this year's TASFAA Fall Conference.

Join TG for new financial literacy train-the-trainer program at upcoming RMASFAA Conference
Later this year, TG will unveil an enhanced version of its Financial Literacy Program, which includes ten 15-minute modules on financial literacy topics. TG will showcase its financial literacy training offering during an upcoming session offered at the Rocky Mountain Association of Student Financial Aid Administrators (RMASFAA) Conference to be held in Grand Forks, North Dakota.

TG discontinues Student Loan Inquiry utility
Today, TG will remove access to Student Loan Inquiry via AdvanTG Web™. TG's Student Loan Inquiry is a self-service resource provided to schools and lenders seeking information on their borrowers' TG-guaranteed loans, including data on loan balances and current loan holders.

Industry Update

Comment deadline quickly approaching for proposed rules on gainful employment
ED recently published a proposed rule in the Federal Register to establish measures for determining if educational programs designed to prepare students for gainful employment in a recognized occupation should qualify for Title IV funding. In this article, readers will find general information on the deadline as well as some tips to consider when providing comments to the proposed rule.

New functionality in NSLDS supports information on delinquent loans
ED announced enhancements to the National Student Loan Data System (NSLDS) to better support school default aversion efforts. This article provides a high-level summary of the changes and offers guidance on the delinquent loan data available in NSLDS.

Policy Report

Latest IFAP postings
Announcements on common origination, the Federal Register, and NSLDS reference materials, among other things, are compiled in this article.

Smart Solutions
The first semester on campus ushers in change for both students and their parents. Students may be absorbed in new routines and surroundings. For their part, parents may experience a sense of absence, often referred to as "the empty nest." TG's Adventures In Education offers parents a few tips on adjusting to the change and adopting behavior that can prove supportive for both student and parent.
News Briefs

Given the shift from bank- to government-based lending, you might think few if any private loans for college would be available. Actually, the number of banks and credit unions offering private education loans is on the rise. A recent article posted on SmartMoney.com notes that private lenders are estimated to make between $8 billion and $10 billion in college loans this academic year. Of course, these loans often come with less favorable terms than federal student loans, including higher overall costs, stricter forms of deferment, and few loan discharge or forgiveness options. Schools should keep these facts in mind when discussing repayment options with students and parents, and emphasize the benefit of borrowing federal over private loans.