Service Overview Manual. Campus Partners

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1 Service Overview Manual Campus Partners

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3 Table of Contents Service Overview Manual Table of Contents Section 1 System Features 1.0 System Features SLSP Number Organization of Data Numbering System Summary Status Codes Status Code Tidbits Amounts Due / Amounts Billed Billing History Delinquent Charges / Other Costs Cohort Default Repayment Flag Cohort Quikletters Loan Rehabilitation Stop Codes Interest Accrual Days Past Due Payment Processing Automatic Reprocessing Complete Chronological Loan Other Service Options Reporting Flexibilities Section 2 Enrolled Loans Processing 2.0 New Loans and Advances Input Documents New Loan Input Form New Loan and Advances Reports New Loans and Advances Report Summary Unpostable New Loans Response Document Unpostable Advances Response Document Separation Date Verification Report Enrolled and Grace Borrowers Report i

4 Table of Contents Section 3 Loan Maintenance Input 3.0 Loan Maintenance Input Forms Separation Date Change Transmittal Name and Address Change Form Payment Transmittal (Itemized by Borrower) Payment Transmittal (Itemized by Loan) Default Transmittal Change/Adjustment Request Memo Rehabilitation Submittal Form Section 4 Loan Maintenance Reports 4.0 Loan Maintenance Reports Student Loan Journal Borrower/Loan Number Cross Reference Report Bad Address List Changed Name and Address Report Borrowers Without a Good Address Calendar Year Interest Paid Report TRA Interest Report Paid Out/Credit Balance/Write Off Report Cumulative Credit Balance Report Loans Assigned to/accepted by the U.S Inventory of Loans Referred/Assigned/Accepted to the U.S Stop Code List Small Balances Payment Transmittal Credit Bureau Report Loans to Review for Cohort Default Rate Loans to Review for Cohort Default Rate - Projected Deferment/Cancellation Detail Report Section 5 Past Due Loans Processing 5.0 Past Due Loans Processing Past Due Loans Reports Exception & Special Billing Report Past Due Loans Report Borrowers to Receive a Notice Report Loans Brought Current Report Loan Monitoring Report IRS Skip Trace Report Rehabilitation Monitoring Report ii

5 Table of Contents Section 6 Collection Agency Interface 6.0 Collection Agency Overview Collection Processing Input Forms Summary New Delinquents Report New Placements Report Agency Version New Placements Report Institution Version Collection Agency Inventory Agency Version Collection Agency Inventory Institution Version Transactions Against Loans in Collection Report Section 7 Accounting Reports 7.0 Accounting Reports - Summary Transactions and Adjustments Journal Cash Activity Report Accounting Reports Funds Advanced Year to Date Report Cost Detail Report Section 8 Management and Government Reports 8.0 Management Reports - Summary Status Summary Report Collection Agency Recovery Analysis Monthly Collections Analysis Invoice Detail Report Appendix Input Forms... A-1 Reports... A-2 Glossaries Glossary of Terms...GL-1 Glossary of Codes...GL-19 Glossary of Reports...GL-29 iii

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7 System Features Section 1 System Features Table of Contents 1.0 System Features SLSP Number Organization of Data Numbering System Summary Status Codes Status Code Tid Bits Amounts Due / Amounts Billed Billing History Delinquent Charges / Other Costs Cohort Default Repayment Flag Cohort Quikletters Loan Rehabilitation Stop Codes Interest Accrual Days Past Due Payment Processing Automatic Reprocessing Complete Chronological Loan Other Service Options Reporting Flexibilities TOC

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9 System Features 1.0 System Features 1.1 SLSP Number The SLSP number is used to identify customers and provide flexibility in the production of reports at various levels. It is especially useful for schools with multiple loan programs or those that are part of a system or consortium. The SLSP number is printed in the upper left corner of all our reports. Below is a description of each segment of the SLSP: System Number: A five-digit number that identifies a group of related lenders. Lender: A three-digit number that identifies one customer's group of programs. Each customer is a unique lender. Sub-lender: A three-digit number that identifies a group of loan programs within a large lender. Program: A five-digit number that identifies a single loan program associated with a particular school (lender). Page 1-1

10 System Features 1.2 Organization of Data in Campus Partners System III sm The data in System III are organized in different levels that are described briefly below: Borrower Level: contains demographic information. Consolidation Level: contains billing information. A consolidation can have a maximum of five loans because we can print only five loans on one bill. Program Level: contains the type of program(s) for a given school. Loan Level: contains individual loan data. Base Level: contains the fund information (i.e., the type of funds included in a loan). The following chart illustrates these four levels. Page 1-2

11 System Features Organization of Data BORROWERS NAME, ADDRESS, DRIVER S LICENSE, SSN, STUDENT ID# ETC. CONSOLIDATION BILLING INFORMATION CONSOLIDATION BILLING INFORMATION PROGRAM PROGRAM LOAN LOAN AMOUNT LOAN BALANCE INTEREST RATE DAYS PAST DUE ETC. LOAN LOAN AMOUNT LOAN BALANCE INTEREST RATE DAYS PAST DUE ETC. LOAN LOAN AMOUNT, LOAN BALANCE INTEREST RATE, DAYS PAST DUE, ETC. BASE FUND INFORMATION BASE FUND INFORMATION BASE FUND INFORMATION BASE BASE As you can see on this chart, the name and address are stored only once no matter how many loans this borrower has. So, a single change of address will affect all loans. The same is true of all demographic information maintained at the borrower level. Page 1-3

12 System Features SYSTEM # SAMPLE BORROWER P.O. BOX 3176 WINSTON-SALEM, NC BORROWER # SSN SECONDARY ADDRESS CONSOLIDATION # - 03 DUE DAY = 25 BILLING ADDRESS Program = $ % $86.55 DUE $ % $60.01 DUE $ % $30.00 DUE Base 1 Base 2 Base 3 Page 1-4

13 System Features 1.3 Numbering System Campus Partners uses the following numbering system to access or process loans on various levels: Borrower Number: Nine-digit number that identifies a borrower. This will be the Social Security Number or, if we do not have one, a specific number assigned by our system. Consolidation Number: Two-digit number that identifies a group of loans belonging to a borrower for the purpose of consolidating the loans on one bill. Account Number: The combination of the borrower number and the consolidation number; used for payment processing. Note: Using the account number allows System III to apply a single transaction to all loans within a consolidation. (i.e., all loans that are billed together.) Borrower # + Consolidation # = Account # Program Number: Five-digit number used to identify a loan program for a particular school. Loan/Sequence Number: An 11-digit number that identifies a single loan with a given loan program. To identify a particular loan, we always will use the Program/Loan Number/Sequence Number. Randomly Assigned Account Number (RAAN)*: Nine-digit number used by Campus Partners that will appear and print on all correspondence to your borrowers. This number will also appear as part of the Account Number on bills/past due notices. *RAAN was added to the System III database in January 2004 in an effort to protect your borrowers against identity theft. Page 1-5

14 System Features 1.4 Summary The data are stored in four levels 1. Borrower Level - Demographic 2. Consolidation Level - Billing information 3. Loan Level - Individual loan data 4. Base Level - Fund information A consolidation is a group of loans billed together. Think of a consolidation as a bill. Borrower + Consolidation number = Account Number To access a single loan you must use the Program/Loan/Sequence numbers. To access the Borrower level or a group of loans billed together, you must use the Account Number. When loans are grouped it means that all loans for the borrower have the same Borrower Number (usually the SSN). The SLSP number identifies a customer. It is composed of the System, Lender, Sublender and Program numbers. Page 1-6

15 System Features 1.5 Status Codes 1x 2x 4x 5x 6x 8x 9x Enrolled 10 Enrolled, undergraduate student 11 Enrolled, graduate student 19 Enrolled, past due for interest billed during enrollment Grace 20 Grace following enrollment 21 Grace, deferred while in grace status 29 Grace, past due for interest billed during enrollment or grace Repayment 40 Current 41 Special billing - Current 48 Special billing - Past Due 49 Past due - A letter following this code will indicate collection agency status Deferment 50 Deferred 51 Grace period following deferment 52 Hardship deferment/hardship billing 59 Past due for amounts billed during deferment - loans continue to age (ex. Hardship Billing) Cancellation/Postponement 60 Postponed 61 Canceled To Be Closed 80 Paid in full this month 82 Assigned to the U.S. 83 In litigation 84 Filed for bankruptcy - Chapter 7 and Written off this month 86 Filed for bankruptcy - Chapter 13 (Wage Earner) Closed 90 Paid in full 91 Canceled because of disability 92 Canceled because of bankruptcy 93 Accepted by the U.S. 94 Written off automatically 95 Written off manually 96 Canceled because of death Page 1-7

16 System Features 1.6 Status Code Tidbits 19 Enrolled, past due for interest billed during enrollment (used for Private Funds). 29 Grace, past due for interest billed during enrollment or grace (used for Private Funds). 41 With an agreement flag of Y, a borrower's loan is considered current. Without an agreement flag, a borrower's loan is based on actual days past due. 48 With an agreement flag of Y, a borrower's default is reported based on Special Billing Days past due. Without an agreement flag, a borrower's default is reported based on actual days past due. 49 Past due - A letter following this code will indicate collection agency status, as follows: C = in collection R = returned or recalled E = eligible for collection manual placement W = withheld from collection 52 Hardship deferment of principal Hardship Deferment - Special payment arrangement; borrower pays only interest during or at the end of the hardship period. 59 Past due for amounts billed during deferment (example: interest billed during hardship) 61 Cancellation processed with end date in the future. The loan will be in status 61 for the period between the date the form is processed and the cancellation end date. This period will not be greater than 90 days. 80 Review Paid Out/Credit Balance/Write Off Report or Cumulative Credit Balance Report to refund credit balances and return promissory notes. (Check for collection fees first.) 9x Loans with a 9x status are printed on reports for at least six months. After that time, these loans no longer are printed. They remain in the system and are included in the appropriate totals. Twice a year (June and December) all 9x loans will be printed on the Student Loan Journal. Page 1-8

17 System Features 1.7 Amounts Due / Amounts Billed The interest that will be taken from each payment depends on the date the payment is received. Therefore, borrowers are billed a set amount rather than separate amounts. The DUE FIELDS (amounts due) in System III are: Currently Due Amount: The total amount of the current bill. Past Due Amount: The total amount of outstanding bills that a borrower must pay to bring his or her loan to current status. Accrued Interest: The amount of unpaid interest as of the date of last interest accrual. Delinquent Charges: Consist of Penalty Charges, Late Charges, Collection Fees and other costs. 1.8 Billing History System III generates a bill 20 days before the due date. When a bill is generated it is entered into the History of Outstanding Bills (HOSB). Customers using Campus Partners DataLink, our on-line system, can view this history on the HOSB Screen. Billing Methods: E-Bill, Statements; AutoDraft; and Coupon Books Paying Amount Billed: When borrowers pay the amount of one bill, the system considers that bill satisfied. The date the payment is received will determine the amount of interest taken from each payment. This is accomplished by the use of the History of Outstanding Bills. ` Page 1-9

18 System Features 1.9 Delinquent Charges / Other Costs We use Delinquent Charges to refer to the following fees as a group: Late/Penalty Charges: A fee assessed on a loan when payment is late or missed. (Mandatory for the NDSL/Perkins, NSL and HPSL programs) Collection Fees: Charges incurred when a collection agency has taken over collecting on past due loans; and cost of litigating a borrower. Other Costs: Cost incurred by your school for actions, personnel or equipment used in the collection of student loan funds. Some items considered Other Costs: 1. Returned check fees;* 2. Collection telephone calls; 3. Credit bureau reports; 4. Address searches; 5. Salaries and benefits of collection personnel in proportion to the amount of time allocated to the collection of delinquent loans; 6. Letter writing, including postage, stationery, etc.; 7. Equipment, such as personal computers or terminals; 8. Collection software, such as Campus Partners Collections System, etc.; and 9. Servicing fees for DataLink, in proportion to the amount of time DataLink is used for collection. System III offers the flexibility to select the order in which these charges will be paid among themselves and whether to pay them individually or as a group before or after Principal and Interest. Note that the Federal Perkins, NSL and HPSL regulations require that Late/Penalty Charges and Collection Fees be paid before interest and principal. *Note: Although we charge for a returned check fee on your monthly invoice, you do not have to absorb this cost. You can assess this charge to the borrower as a cost of collection ( (e)(1)) or you can charge it to the Fund as a banking service charge ( 674.8(a)(6)). Cost Chargeable to the Fund: The institution must charge the borrower and attempt to recover: 1. Billing costs incurred to obtain payment of past due amounts (late charges (b)(2). If not recovered, only the portion of the late charges that represents the cost of telephone calls can be charged to the Fund. 2. Cost of address searches ( ); 3. Cost of reporting to credit bureaus ( ); and 4. Cost incurred to collect or to litigate delinquent loans ( (e) and (b)). Page 1-10

19 System Features Waiving Fees 1. The institution can waive late charges only if the borrower pays the full amount past due on the loan. 2. You also can waive collection cost in direct proportion to the amount of the past due balance paid by the borrower within 30 days of entering a written repayment agreement with the institution. Late Charge Methods: You can select from several methods to assess late charges, including the assessment of a percentage (NSL/HPSL regulations) or a flat amount with a maximum percentage (Federal Perkins regulations). Page 1-11

20 System Features 1.10 Cohort Default Repayment Flag Campus Partners has created fields to assist you in tracking borrowers that affect your default rate and therefore need immediate attention. You need to work closely to follow the guidelines outlined by federal regulations for removing loans from the cohort default rate. These are the values for the new fields: COHORT = YES Borrower is included in the cohort group of borrowers for the current fiscal year. COHORT = NO Borrower is not included in the cohort group of borrowers for the current fiscal year. DEFAULT REPAYMENT FLAG =Y1 In default, no payment arrangements made =Y2 In default, arrangements made =Y3 In default, payments not made as agreed =N1 No longer in default, arrangements satisfied =N2 No longer in default, deferment processed =N3 No longer in default, paid in full (N3 is effective July 1, 1996) These fields can be found on DataLink (LN5) screen The Cohort and Default Repayment Flag will appear on the following reports: 1. Student Loan Journal 2. Borrowers Without A Good Address 3. Past Due Loans 4. Loans to Review for Cohort - Projected Year 5. New Delinquents 6. Loan Monitoring 7. Exception and Special Billing 8. Collection Agency Inventory 9 New Placements We have included the cohort series of QuikLetters that are available. Page 1-12

21 System Features 1.11 Cohort Quikletters * * * IMPORTANT NOTICE * * * Your Federal Perkins Student Loan(s) will be monitored closely by THE FEDERAL GOVERNMENT and THE DEPARTMENT OF EDUCATION throughout t he next year. You are part of a Cohort group of individuals that entered repayment on or around the same time. Please take time to read all the information provided in your promissory not e to ensure that you are familiar with the options available. It is our intention to provide you with the bes t service possible. If any problems arise and you are unable to make your regular payment, please contact (Lender Name) immediately. Below is a status of your account. Please notify Campus Partners deferment/cancellation forms. immediately with name/address changes and submission of * * * IMPORTANT NOTICE * * * Having difficulty keeping your Federal Perkins Loan payment current? Remember, failure to make timely payments can result in serious consequence to include: - Delinquency reported to national credit bureaus that will remain a bad debt for seven years. - Loan(s) forwarded to a professional collection agency, resulting in increased delinquency charges to your account. - Unable to obtain any Title IV aid (Student Financial Assistance) at any institution. (Lender Name) payment at this time. needs to hear from you immediately if you are unable to make full Below is the status of your loan(s): Please contact Campus Partners with name/address changes and submission of deferment/cancellation forms * * * IMPORTANT NOTICE * * * It is critical that you contact (Lender Name) immediately concerning your Federal Perkins Student Loan, that is now seriously past due. Continued delinquency will have a severe impact on your credit rating and ability to obtain additional loans. Below is the status of this account: Please contact Campus Partners immediately with name/address changes and submission of deferment/cancellation forms. Page 1-13

22 1.12 Loan Rehabilitation System Features Final regulations published by the Department of Education to implement changes in the HEA of 1998 include a provision that allows borrowers to rehabilitate their loan (reference Section ). The borrower must request rehabilitation of a defaulted loan. Once the borrower has made 9 on-time consecutive monthly payments, the loan will be returned to a regular repayment status, the default will be removed from the borrower s credit history, and the borrower will again be eligible for title IV funds. Campus Partners includes rehabilitation information including ED s Ombudsman s office on the reverse side of our billing statements and the 15- and 45-day past due notices. For our DataLink customers, new fields have been added to the LN5 screen that work in conjunction with our special billing transaction to facilitate this process. A Rehabilitation Flag has been added to LN5 that allows you to monitor loans in various stages of the rehabilitation process. The values are: P loan pending rehabilitation R 9 th payment received/loan rehabilitation completed (this month) S rehabilitation report sent to credit bureau U rehabilitation attempt unsuccessful (payment missed or late); and V rehabilitation voided by subsequent default The Consecutive Payment Counter (also on LN5) will keep track of the borrower s on-time consecutive payments. System III will allow a payment to be up to 15 days late and still be counted as on time. Both fields appear on the following reports: 1. Loans to Review for Cohort 2. Past Due Loans 3. Collection Agency Inventory Institution Version 4. Collection Agency Inventory Agency Version 5. New Placements Report Agency Version Page 1-14

23 System Features 1.13 Stop Codes Occasionally, it is necessary to stop functions from occurring on a borrower's loan. To accomplish this, System III uses six Stop Codes. Some of these are valid only on private loan funds*. To stop a given function, a reason code must be entered on that function. Below is a list of the six functions and the reason codes: Functions that can be stopped 1.* Accruing Interest - Can be used for Private loan funds only. 2. Sending Bills - Stops only paper; bill amounts continue to be added to the due fields. 3.* Sending and Accruing Bills - Can be used for Private loan funds only. 4. Sending Past Due Notices - Stops only past due contacts; actual days past due continue to increase. 5.* Sending Past Due Notices and Aging - Can be used for Private loan funds only. 6. Sending computer generated letters. Reason Code Values Placing any one of these values in function codes 1 through 6 causes that activity to stop: 0 = Not in use 1-5 = Requested by school 7 = Requested by school at conversion A = Loan to be assigned to Department of Education C = Loan in collection; late charges do not accrue if in stop code function 4. Billing resumes automatically when loan is removed from collection D = Pending receipt of death certificate F = Loan in collection; penalty charges continue to accrue if in Stop Code function 4. Billing resumes automatically when loan is removed from collection H = Pending receipt of disability papers I = Judgment from small claims court J = Borrower in jail K = Loan in consumer credit counseling L = Loan in litigation S = Loan in small claims court Z = Loan flagged automatically for annual contact (more than 850 days past due) Note: Stop Codes are not necessary on bankruptcy accounts. System III automatically will stop accruing interest, sending bills and sending past due notices. Page 1-15

24 System Features 1.14 Interest Accrual System III uses a Daily Simple Interest accrual method. One day of interest is calculated as follows: LOAN BALANCE x INTEREST RATE = Daily Amount 365 Example : System III uses 366 days during leap years. $1,000 x = $ (daily amount) 365 System III calculates this Daily Amount and displays it on most reports for your convenience. Customers using our on-line system can see this amount on the MAIN screen. Should it be necessary for you to calculate accrued interest beyond the calculation date on the reports or the on-line screen, the Last Accrual Date must be used to determine the number of days that must be added. Example: If you need to calculate interest for a borrower through today, 09/16/97, and the most recent report you have is as of 8/31/97, on this report the borrower's Last Accrual Date is 8/31/97. The borrower's Daily Amount is The following should be calculated: Step 1: 9/01/97-9/16/97 = 16 days of interest Step 2: 16 x.0084 =.1344 (.13 ) # of Accrual Days Daily Amount Interest Accrued Payoff Amount Calculation Payoff Amounts can be calculated using these two easy steps: Step 1: Daily interest amount x # of days between Last Accrual Date and expected payment date. Step 2: Result of step 1 + interest already accrued + all delinquent charges + loan balance. Note: If the loan has been accelerated, fees due are added in the TOTAL DUE field on the Student Journal. Contact your Customer Service Representative for payoff on Accelerated loans. For loans in collection, add the collection fees to be assessed. Page 1-16

25 System Features 1.15 Days Past Due To ensure that Due Diligence steps are not missed, System III maintains three types of days past due: Notification Days Past Due: Notification days past due are used to determine what due notices will be sent to the borrower. They ensure that all contacts required by regulations and/or the lender will be performed. These days will be decreased whenever an adjustment causes Actual Days past due to decrease. Notification days past due is used to determine when a loan is placed with a collection agency or reported to credit bureaus. Actual Days Past Due: Actual days past due are the number of days since the due date of the oldest outstanding bill. These days will be decreased or increased whenever an adjustment causes this date to move forward or backward. Special Billing Days Past Due: The number of days that a borrower is past due within the special billing period/arrangement. Notification and actual days past due always are displayed together on your reports and on the on-line screens. Past Due Reports and borrower notices are based on Notification Days. Special billing days past due will be provided on the Special Billing Report. The Fiscal Operations Analysis Report is based on Actual Days. Here is an example of how days past due can be affected by an adjustment: Example As of today, the borrower is 50 days past due: Actual Days: 50 Notification Days: 50 We change the separation date to a date six months earlier than the date on our system. When this adjustment is processed, the days past due will be: Actual Days: = 230 Notification Days: 50 Therefore, the borrower will receive the 60-days past due contact as scheduled. Page 1-17

26 System Features 1.16 Payment Processing Backdated payments: Payments can be entered with a transaction date ("as of" date) for the purpose of interest accrual (i.e., collection agency payments or payments forwarded by the school). Note: On payments processed through Campus Partners Lockbox the transaction date is the date they are received at the center. Advance Payments: Advance payments will be applied toward future installments after all current and past due bills are cleared. The borrower's next due date will be advanced one frequency period into the future for each extra installment amount included in the payment. The payment amount is allocated to accrued interest, then principal, as appropriate on the day the amount is paid. Example In 9/97 borrower pays $90 to pay monthly installments through 12/97 10/97 $90.00 (A) $ /97 $30.00 $ /97 $30.00 Payment Application Method Step 1: If applicable pay collection fees, other costs, then late charges due on the loan(s). Note that on private funds the school can choose to pay these costs after interest and principal and also can select the order in which these costs are paid. Step 2: Allocate payment amount to each loan, clearing oldest bills first. Step 3: Apply amount allocated to each loan to accrued interest, then principal. Loans in Special Billing: Payments on loans in Special Billing are allocated based on the special bill amount rather than on the amount of the oldest outstanding bill. Advance payments are not acceptable on loans with special payment arrangements. Page 1-18

27 System Features Example C ONSOLIDATION Loan 01 Loan 02 Loan 03 TOTAL AMOUNT DUE 3 bills bills bills ACCRUED INTEREST FREQUENCY M M Q OUTSTANDING BILLS March (a) (a) April (b) (b) May June TOTAL BORROWER PAYS $202 Step 1: Allocate $202 to oldest bills: a. $40 to loan 02 and $120 to Loan 03 (satisfies entire bills). b. Allocate remaining $42 to next oldest bills based on amount of each bill: $21 to loan 01 and $21 to loan 02 because both bills are for the same amount (satisfies partial bills). Step 2: System III will automatically allocate principal and interest to each loan. Example PAY MENT ALLOCATIONS Loan 01 Loan 02 Loan 03 INTEREST $ 5.00 $10.00 $ PRINCIPAL TOTALS $ $ $ = $ Page 1-19

28 System Features 1.17 Automatic Reprocessing One of System III's best features is its ability to automatically reprocess past transactions whenever a new transaction is entered into the system with an effective date earlier than transactions already in the system (i.e., backdated transactions). This is accomplished by maintaining a complete, chronological history of events and transactions as described on the previous page. Reprocessing recalculates the loan as it would have been if the transaction was done on the date the transaction occurred. So ideally System III is correcting the loan due a backdated transaction such as payments, separation date changes, etc. As noted earlier, loan history is permanent and reprocessing does not change or alter existing transactions. When a transaction is entered in history with a transaction date in the past, it is placed in its chronological sequence based on the transaction date. Then Reprocessing takes place, and System III calculates a net adjustment to the effected fields using the new information. Example: A cancellation is processed on August 15, 2005 for the previous academic year ( ): TRAN DT DESCRIPTION History before cancellation 07/01/03 * CANCELLATION PRIN INT START 07/03 STOP 06/04 09/10/04 PAYMENT PRIN INT /12/04 PAYMENT PRIN INT /09/05 PAYMENT PRIN INT /11/05 PAYMENT PRIN INT 9.00 TRAN DT DESCRIPTION History after cancellation 07/01/03 * CANCELLATION PRIN INT START 07/03 STOP 06/04 07/01/04 * CANCELLATION PRIN INT START 07/04 STOP 06/05 09/10/04 PAYMENT PRIN INT /12/04 PAYMENT PRIN INT /09/05 PAYMENT PRIN INT /11/05 PAYMENT PRIN INT /15/05 REPROCESSING ORIG. TRAN CANCELLATION PRIN PAID INT PAID *This asterisk will appear in the left margin of the history if the Post Date is different from the Transaction Date. The post date is stored in the history but is not displayed normally. Page 1-20

29 System Features 1.18 Complete Chronological Loan System III maintains a complete chronological history of events and transactions that occur on your loans, such as: Due diligence contacts Monetary transactions Non monetary changes (name, address, etc.) Comments relating to contacts with the borrowers Loan History is Permanent: Items entered into the history cannot be removed or altered. Loan History is Chronologically Organized by Transaction Date: All items entered into the history carry two dates: 1. Transaction date - This is the as of date or effective date of the transaction (the date that the transaction should have occurred), and can be in the past. 2. Post date - This is the date that the Transaction is entered into the system. Loan History Prints Filtered: All history for a borrower is together in System III. A series of filters allows an on-line customer to select the history for a particular loan or history for certain types of transactions either on the borrower level or loan level. In other words, an on-line customer can select only payment history or only cancellation history, etc. If you are not using our on-line system, you can request history prints from your Customer Service Representative for a fee.35 per page. Page 1-21

30 1.19 Other Service Options Service Overview Manual System Features Writeoffs 1. Federal Perkins Loans - You may manually write off a borrower's loan(s) (the account) after you have reviewed all Perkins/NDSL loan balances for the borrower, and the sum of these balances is below $25.00, including interest, late charges and collection fees. (Currently, Campus Partners is providing this service for you.) Balances of less than $25.00 are not written off immediately. Campus Partners will perform the appropriate due diligence up to 105 days past due before performing this write off. Schools may also write off balances of less than $50.00 if the borrower has been billed for two years. The regulations governing these write offs can be found in (h). 2. Health Professions Loan Programs (HPSL/PCL/LDS/NSL) - You may write off any loan with a positive or negative balance of $10 or less, including interest, late charges and collection fees, using the automatic write off options described below. Regulations governing HHS write off can be found in the Student Financial Aid Guidelines, Fiscal Management section, Chapter 3, Writeoff procedures. Due Diligence Write-Off - This write-off occurs automatically when the total payoff amount is $10 or less and the borrower has received a final bill plus a 15- and a 45-day notice. This option is not available for Federal Perkins loans. Low Balance Write-Off - This write-off occurs automatically as soon as the payoff amount is equal to $10 or less. This option is not available for Federal Perkins loans. Credit Balance Write-Off - When a borrower overpays his loan by $10 or less, the credit balance is written off automatically. This option is not recommended for Federal Perkins loans. 3. Private Loan Programs - You may use any of the automatic write-offs described under No. 2. above, for any amount up to $ Past Due Notice Minimum: This option allows you to specify a dollar amount that the borrower can be past due without receiving past due notices. The maximum is $9.99. When this option is used, the loan is not considered past due until the amount owed is more than the amount you selected; the days past due do not increase and late charges are not assessed. Credit Bureau Reporting: (Requirement for all Federal Perkins) For loans disbursed 07/23/92 and after, the loan must be reported at disbursement. Loans made before 7/23/92 must be reported based on delinquency. For HPSL/NSL more than 120 days past due. Automatic or manual reporting to three major Credit Bureaus: Experian; Trans Union; and Equifax As an option loans can be reported to CCA (Consumer Credit Associates), a nonprofit organization that distributes information to some of the major credit bureaus and independent credit bureaus. Page 1-22

31 System Features Exit Interview Packages 1. Automated Exit Interview Package: This is a multipart form containing an original and a copy of the Disclosure Statement and of the Loan Interview Sheet. Fact Sheets for each of the federal loan programs (Federal Perkins, HPSL/LDS/PCL and NSL) are included with each package you order. A peel-off label is provided to mail the form to the borrower, if necessary. Note: Automatic exits should not be generated if a loan has already entered repayment. The disclosure information will be inaccurate. 2. On-Line Exits: This option allows the ability to print screen a Student Loan Disclosure Statement for each loan a borrower has. We will provide Page 2 the required Federal Truth-in-Lending Information, which must be attached. Note: Additional Loan Interview forms and fact sheets are available for each of the Federal loan programs. Order through your Customer Service Representative. Capitalization Capitalization defers the payment of interest and/or fees by adding those amounts to the loan's principal balance. You automatically can capitalize the nonrepayment interest accrued on private loans and manually capitalize any interest and/or fees due on all loan types, provided they meet the criteria for that loan type. See the chart below for details on the loan type criteria. What is Capitalized Loan Type When Interest not deferred when a INST At the end of the deferment. deferment is processed Nonrepayment Interest INST At the end of grace. Nonrepayment Interest INST At the end of enrollment and at the end of grace. Fees Due Federal Perkins/HPSL/NSL/INST At any time. Interest and/or fees due on judgment loans Federal Perkins/HPSL/NSL/INST When a judgment is processed on the loan. Terminology to Support Capitalization: 1. Cap Balance = The capitalized balance. 2. Total Bal = The principal balance plus the capitalized balance. 3. Capitalized Amount = The capitalized portion of the loan amount. 4. Int Accrued on Cap Bal = The portion of accrued interest that accrued from the capitalized balance. 5. Deferment Int to Cap = The interest accrued during a deferred period that will be capitalized at the end of deferred period. Final Payment Option Regulations published in of the Federal Register of December 1, 1987, state that if the last scheduled payment is $25 or less, you can add it to the next-to-last repayment. To accommodate this process on System III, Campus Partners provides Final Payment option. This feature can be set up easily on System III and will occur automatically within certain guidelines. Page 1-23

32 System Features 1.20 Reporting Flexibilities The options listed below are offered for each report with few exceptions: Sort Sequence 1. Alphabetical 2. Numerical 3. By Division of Labor (sorted by Collectors) 4. Others (i.e. by status, separation date etc. on some reports) Print Frequency 1. Weekly 2. Monthly 3. Quarterly 4. Semi-Annual 5. Annual expressreports: Online Reports Consolidation 1. Several programs can be combined on one report for printing purposes. 2. Driven by SLSP number Selection Criteria: Several reports allow you to choose which loans are selected for printing or how the loans are grouped (i.e. Student Loan Journal, Past Due Loans Report, etc.). FTP 1. Sending The following information is available via FTP Masterfile complete loan information Tax Offset based on criteria selected by school according to their state Accounting same as report Enrolled/Grace Borrowers same as report 2. Receiving Campus Partners can receive the following information via FTP, should a customer want to provide it in that format. New Loans and Advances Separation Date Changes Miscellaneous Transactions Name and Address Changes Payments Please contact Campus Partners for the required tape specifications. Page 1-24

33 Enrolled Loan Processing Section 2 Enrolled Loans Processing Table of Contents 2.0 New Loans and Advances Input Documents New Loan Input Form New Loan and Advances Reports New Loans and Advances Report Summary Unpostable New Loans Response Document Unpostable Advances Response Document Separation Date Verification Report Enrolled and Grace Borrowers Report TOC

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35 Enrolled Loan Processing 2.0 New Loans and Advances Input Documents Tape Submission: All of the items below can be submitted to Campus Partners via magnetic tape. New Loan Input Form 1. This form is used to input a new loan into the system. It allows you to enter monetary and nonmonetary information. 2. These forms are batched and sent to Campus Partners with the New Loan Batch Ticket. 3. New Loans also can be submitted by tape. Specifications are available upon request. New Loan Batch Ticket 1. Maximum 50 input forms per batch 2. Program batch number entered in System III 3. Uniform values Advance Transmittal 1. This transmittal is used to add additional disbursements to loans already in the system. 2. Advances also can be submitted by magnetic tape. Specifications are available upon request. Advance Batch Ticket 1. Maximum 50 transmittals per batch 2. Program batch number entered in System III 3. Uniform values Advance Reversal Transmittal 1. This transmittal allows you to make adjustments to advances. 2. System III uses the actual advance date to process the reversals. 3. Advance Reversals can be submitted by magnetic tape. Specifications are available upon request. Page 2-1

36 2.1 New Loan Input Form Service Overview Manual Enrolled Loan Processing Name: The last name must be followed by a comma. When a statement is printed, all data that follows the comma will be switched in front of the last name. Addresses: Address lines must be used in sequence, always starting with line 1. However, the City, State and ZIP Code must be entered in these specific fields. The statements always are sent to the Primary address unless it is coded Bad. In this case, System III automatically uses the secondary address(es). The Bill To flag allows you to designate the first Secondary Address as a Billing Address. This means that all statements will be mailed to this address even if the Primary Address status is Good. If the Billing Address status is Bad the system will revert to the Primary. When the Address Location is F (Foreign) an additional line is available and the ZIP Code field will accept alpha characters. Loan Data: A description of the fields and input codes begins on page 2-4. To save time in completing this form, several of the fields in this section of the form have Default Values that can be entered in the system for each of your loan programs: 1. Repayment Plan/Frequency 2. Repayment Term* 3. Minimum Code/Minimum Amount/MPOC 4. Late Charge Code 5. Disbursement Code *Federal programs are automatically coded based on current regulations. You also can take advantage of the Uniform Values fields on the Batch Ticket. Interest Accrual Information: If you want the loan to accrue interest in all statuses, the INT ACCR CODE must =0/ ; otherwise, System III will default to 1 = interest only accrues in a repayment status. If the INT ACCR CODE =0/ (interest accrues in all statuses, then the INT BEN ELIG. (Interest Benefits Eligibility Code) determines the interest benefits during the non-repayment period. The values are: 2 = Not eligible, capitalize non-repayment interest at the end of grace. 3 = Not eligible, bill for non-repayment interest. 4 = Not eligible, add non-repayment bill. 6 = Not eligible, capitalize non-repayment interest at the end or enrollment and then again at the end of grace. Page 2-2

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43 Enrolled Loan Processing 2.2 New Loans and Advances Reports System III brings you these reports to expedite the reconcilement of your input to Campus Partners and the handling of rejects: New Loans and Advances Report (standard weekly report) 1. The report is sorted using your batch number. 2. The report provides a complete reconcilement of loan activity. 3. Detail is provided when reporting loans with activity such as payments, cancellations, etc. 4. The report has the capability to show reconciled loans made of multiple funds. Unpostable Response Documents (standard weekly report): These documents provide an efficient way to advise you of unpostable items. A space is provided on the document to enter your correction. The document should then be returned to Campus Partners for processing. It is your responsibility to provide the necessary information to allow these loans to post. If the information is not provided, the items will be deleted in 90 days. Unpostable Items Stored in Database: Items listed on the Unpostable Response Documents are stored in the Campus Partners Database for 90 days. This feature will expedite the process of submitting your corrections, because only the incorrect data must be entered instead of the entire loan or advance. Page 2-9

44 Enrolled Loan Processing 2.3 New Loans and Advances Report (Standard Report) PURPOSE INTENDED USE This report shows all New Loans, Reconstruction Loans, Loan Corrections, Reconstruction Loan Corrections, Advances, Advance Adjustments and Deleted Loans. (See Miscellaneous Notes for definition of terms.) The report has a separate section or page for each type of transaction. Each section of the report is described in detail on the following pages. Use this report to verify that all batches sent to Campus Partners have been entered into the system and that the batch totals reconcile to your records. If loans or advances are shown as unpostable, it is your responsibility to submit corrections using the Unpostable Response Document, which is supplied along with the report. REPORT FREQUENCY Standard: Weekly The unpostable loans and advances are stored in the database for a period of 90 days. Campus Partners will corrected the rejected items. Options: Monthly SUGGESTED RETENTION CONSOLIDATION SELECTION CRITERIA SORT SEQUENCES Until all batches are reconciled with lender s records. Program, Sublender, Lender or System All New Loans, Reconstruction Loans, Reconstruction Loan Corrections, Loan Corrections, Advances, Advance Adjustments and Deleted Loans processed during the period. The report is divided into eight sections: 1. New Loans 2. Loan Corrections (see Miscellaneous Notes) 3. Reconstruction Loans (see Miscellaneous Notes) 4. Reconstruction Loan Corrections (see Miscellaneous Notes) 5. Batched Advances 6. On-line Advances 7. Advance Adjustments (Advance Reversals) 8. Deleted Loans Note: For accounting purposes, you might want to use a Funds In Transit general ledger account to account for items mailed from your office but not yet received/processed by Campus Partners, this practice will alleviate reconciling problems. Only the sections that apply will be printed. Page 2-10

45 Enrolled Loan Processing For New Loans, Reconstruction Loans, Loan Corrections, Reconstruction Loan Corrections and Batched Advances: Standard: Alpha by Program Batch Number/Accepted, Rejected, Unpostable/Borrower Name/Borrower Number/Loan Number/Sequence Number/Post Date/Post Time Option: Numeric by Program Batch Number/Accepted, Rejected, Unpostable/Loan Number/Sequence Number/Post Date/Post Time For on-line Advances, Advance Adjustments, Deleted Loans: Standard: Borrower Name/Borrower Number/Number/Program Number/ Loan Number/Sequence Number/Post Date/Post Time Option: Loan Number/Sequence Number/Program Number/Post Date/Post Time TOTALS Summary Totals Page Fund Totals Page: This page will be provided only for customers disbursing from multiple funds within one loan program. MISCELLANEOUS The Loan Correction section consists of loans that were on System III NOTES but had to be deleted and set up again. These loans have no monetary activity such as payments, cancellations, etc. The Reconstruction Loans section consists of loans that were rejected from the conversion post and now are being processed (new customers), as well as other loans with activity (i.e. payments, etc.) being entered for the first time through the New Loan System. The Reconstruction Loan Corrections section consists of loans on System III with monetary activity but had to be deleted and set up again. When reversing an advance that was posted to the wrong loan, the transaction reversing the advance will be reported as an Advance Adjustment. The transaction posting the advance to the correct loan will be reported as an On-Line Advance. Batches that are input through DataLink do not have a Campus Partners batch number. If a separation date change requiring reprocessing of loan payments is submitted on an advance transaction, the separation date change, in some cases, can be removed and added as a separate transaction. In these cases, the New Separation Date will not be displayed on the report. If there are no transactions to be reported for one of the seven sections, the section will not be printed. Page 2-11

46 Enrolled Loan Processing NEW LOANS AND ADVANCES REPORT NEW LOANS RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK WEEK ENDING 07/31/04 PAGE: 1 PROG BATCH 0188 /WSI BATCH /27/04 PROG TOT ITEMS 5 TOT LOAN AMT 19, TOT LOAN BAL 19, TOT ADV AMT 19, IT# LOAN NUMBER BORROWER NAME LOAN AMT LOAN BAL ADV AMT * L ADV DT FUND # FUND AMT WARNING/ERROR MESSAGE ACCEPTED NEW LOANS BELLING, JOHN JOSEPH 2, , , B 06/03/ BETCHER, BETTY ANNE 5, , , B 06/03/ BISHOP, BRYAN 4, , , B 06/03/04 TOTAL ACCEPTED NEW LOANS 3 11, , , YTD 11, CUM 11, TOTAL REJECTED NEW LOANS IT# LOAN NUMBER BORROWER NAME LOAN AMT LOAN BAL ADV AMT * L ADV DT FUND # FUND AMT WARNING/ERROR MESSAGE AMOS, KARRIE 2, , , B 06/03/ BARNES, BRODERICK 5, , , B 06/03/04 W2449:MIN AMT GREATER MIN AMT ON PROG TABLE TOTAL REJECTED NEW LOANS 2 7, , , YTD 7, CUM 7, TOTAL NEW LOANS PROCESSED CURRENT PERIOD 5 19, , , NEW LOANS ACCEPTED PRIOR PERIOD NEW LOANS DELETED IN PRIOR PERIOD NEW LOANS OUTSTANDING FROM PRIOR PERIOD TOTAL NEW LOANS SUBMITTED 5 19, , , DIFFERENCE PROG BATCH 0288 /WSI BATCH /27/04 PROG TOT ITEMS 49 TOT LOAN AMT 110, TOT LOAN BAL 110, TOT ADV AMT 110, IT# LOAN NUMBER BORROWER NAME LOAN AMT LOAN BAL ADV AMT * L ADV DT FUND # FUND AMT WARNING/ERROR MESSAGE ACCEPTED NEW LOANS ANDERS, GLENN J. 2, , , B 06/03/ BENNETT, JACKIE 4, , , B 06/03/04 W0934:NEW LOAN NAME DISAGREES WITH PROD NAME TOTAL ACCEPTED NEW LOANS 2 6, , , YTD 6, CUM 6, TOTAL NEW LOANS PROCESSED CURRENT PERIOD 2 6, , , NEW LOANS ACCEPTED PRIOR PERIOD , , , NEW LOANS DELETED IN PRIOR PERIOD NEW LOANS OUTSTANDING FROM PRIOR PERIOD TOTAL NEW LOANS SUBMITTED , , , DIFFERENCE Page 2-12

47 Enrolled Loan Processing NEW LOANS AND ADVANCES REPORT ADVANCES RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK WEEK ENDING 07/31/04 PAGE: 2 PROG BATCH 0964 /WSI BATCH /27/04 PROG TOTAL ITEMS 8 TOTAL ADVANCE AMOUNT 7, IT# LOAN NUMBER BORROWER NAME ADV DATE ADV AMOUNT * FUND # FUND AMT N SEP DT WARNING/ERROR MESSAGE ACCEPTED ADVANCES BYRD, LARRY 07/29/ B /01/ JORDAN, MICHAEL 07/29/04 1, B 1, /01/ MONTANA, JOE 07/29/ B /01/ PALMER, ARNOLD 07/29/ B /01/ ROSE, PETE 07/29/ B /01/ SIMPSON, OJ 07/29/04 1, B 1, /01/05 TOTAL ACCEPTED ADVANCES 6 5, YTD 5, CUM 5, TOTAL REJECTED ADVANCES VASQUEZ, YVONNE 07/29/ B /01/05 W0045 THIS BORROWER MUST BE REPROCESSED WALSH, ALICE M 07/29/04 1, B 1, /01/05 W0708 BORROWER FOUND ON NEW LOAN DATABASE U2659 ADVANCE DATE MUST BE GREATER NOTE DATE TOTAL REJECTED ADVANCES 2 1, YTD 1, CUM 1, TOTAL ADVANCES PROCESSED CURRENT PERIOD 8 7, ADVANCES ACCEPTED PRIOR PERIOD ADVANCES DELETED IN PRIOR PERIOD ADVANCES PLACED IN SUSPENSE ADVANCES OUTSTANDING FROM PRIOR PERIOD TOTAL ADVANCES SUBMITTED 8 7, DIFFERENCE PROG BATCH 0977 /WSI BATCH /27/04 PROG TOTAL ITEMS 9 TOTAL ADVANCE AMOUNT 7, IT# LOAN NUMBER BORROWER NAME ADV DATE ADV AMOUNT * FUND # FUND AMT N SEP DT WARNING/ERROR MESSAGE ACCEPTED ADVANCES ARDEN, LARRY 07/29/ B /01/ DAVIS, MICHAEL 07/29/04 1, B 1, /01/ HAUSER, JERRY 07/29/ B /01/ JONES, MARY 07/29/ B /01/ PETERS, VICTOR 07/29/04 1, B 1, /01/ SIMS, TYVOLA 07/29/04 1, B 1, /01/ TESH, MARTHA 07/29/ B /01/ WESTMORELAND, ROGER 07/29/04 1, B 1, /01/05 TOTAL ACCEPTED ADVANCES 8 6, YTD 6, CUM 6, TOTAL Page 2-13

48 Enrolled Loan Processing NEW LOANS AND ADVANCES REPORT ADVANCES RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK WEEK ENDING 07/31/04 PAGE: 3 PROG BATCH 0964 /WSI BATCH /27/04 PROG TOTAL ITEMS 8 TOTAL ADVANCE AMOUNT 7, ADVANCES PROCESSED CURRENT PERIOD 8 6, ADVANCES ACCEPTED PRIOR PERIOD ADVANCES DELETED IN PRIOR PERIOD ADVANCES PLACED IN SUSPENSE 1 1, ADVANCES OUTSTANDING FROM PRIOR PERIOD TOTAL ADVANCES SUBMITTED 9 7, DIFFERENCE PROG# LOAN NUMBER BORROWER NAME ADV DATE ADV AMOUNT * FUND # FUND AMT SRC ID# POST DTE BATCH # ON-LINE ADVANCES DEROSE, BETTY 07/27/04 1, B 1, I W919 07/27/ FAULKNER, TAMARA 07/30/ B I W919 07/30/04 TOTAL ON-LINE ADVANCES 2 2, , , ON-LINE ADVANCE ADJUSTMENTS PROG# LOAN NUMBER BORROWER NAME ORIG LN AMT NEW LOAN AMT ADJ AMOUNT * ADV DATE FUND # FUND AMT SRC ID# POST DTE BARRAGAN, THOMAS 4, , B 10/07/ I /17/ BOBONEA, JAMES 1, B 09/20/ I /17/ CAO, MICHAEL CHRIS 3, , C 01/08/ I /17/ CLARK, GREG 1, B 10/04/ I /17/ CAUTLE, BRIAN 1, B 09/20/ I /17/ LEE, FRANK 2, , B 09/23/ I /17/ MINTZ, NATHAN B W W155 10/17/ MOLINA,JAMIE 2, , B 10/04/ I /17/ OTTLEY, LISA 1, B 09/24/ I /17/ PAGE, KIM 1, B 09/20/ I /17/ PERRY, TAMMY 1, , B 09/20/ I /17/06 TOTAL ADVANCE ADJUSTMENTS 11 2, YTD 3, CUM 3, TOTAL Page 2-14

49 Enrolled Loan Processing NEW LOANS AND ADVANCES REPORT SUMMARY TOTALS RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK WEEK ENDING 07/31/04 PAGE: 4 * SUBMITTED * * * * * * * * * * PROCESSED CURRENT PERIOD * * * * * * * * * * * * * * * PROCESSED PRIOR PERIOD * * * * * * DIFFERENCES * TOTALS ACCEPTED DELETED REJECTED UNPOSTABLE ACCEPTED DELETED OUTSTANDING --- NEW LOANS --- PROG/WSI ITMS LOAN AMT ITMS LOAN AMT ITMS LOAN AMT ITMS LOAN AMT ITMS LOAN AMT ITMS LOAN AMT ITMS LOAN AMT ITMS LOAN AMT ITMS LOAN AMT LOAN BAL LOAN BAL LOAN BAL LOAN BAL LOAN BAL LOAN BAL LOAN BAL LOAN BAL LOAN BAL 0188 / , , , , , , / , , , , , , TOTAL COUNT AMOUNT 129, , , , BALANCE 129, , , , ADVANCES --- PROG/WSI ITMS ADV AMT ITMS ADV AMT ITMS ADV AMT ITMS ADV AMOUNT ITMS ADV AMT ITMS ADV AMT ITMS ADV AMT ITMS ADV AMOUNT ITMS LOAN AMT ITMS SUSP AMT ITMS SUSP AMT 0964 / , , , / , , , ON-LINE 2 2, , TOTAL COUNT AMOUNT 16, , , Page 2-15

50 Enrolled Loan Processing 2.4 Summary The New Loans and Advances Report is used to verify that all batches sent to Campus Partners have been entered in the system. The report is divided in sections by type of transaction processed (i.e. New Loans, Advances, etc.) Each section will show the batches that have been processed. Within each batch we will report the transactions in one or more of the following categories: 1. Accepted 2. Rejected (Campus Partners will correct) 3. Unpostable (You must send a correction within 90 days) 4. Deleted* This category within a batch of new loans or advances relates to items deleted from the batch at your request or because no response was received within the 90-day period. Each batch will show totals for transactions processed in the current period, in prior period(s), as well as for items still outstanding. The term Advance Placed in Suspense means that one or more advance had to be removed from the batch because the loan had to be reprocessed before posting the advance. This cannot be done in a batch environment. Therefore, the advance(s) is removed from the batch and placed in the suspense file where an analyst will process it on-line. Such advances appear in a separate section of this report titled On-Line Advances. The original batch number will be displayed with the advance(s). Page 2-16

51 Enrolled Loan Processing 2.5 Unpostable New Loans Response Document (Standard Report) PURPOSE INTENDED USE REPORT FREQUENCY The Unpostable New Loans Response Document provides the customer with a list of all Unpostable New Loans, Loan Corrections, Reconstruction Loans and Reconstruction Loan Corrections processed during the reporting period, as well as a reason why they could not be processed and a space to enter the corrected data. Additional information is provided whenever possible to facilitate the error correction. The customer must make necessary corrections to the data directly on the report and return it to Campus Partners. A space is provided immediately below each data element to write in the corrections. Campus Partners personnel will use the returned report to correct data stored in the New Loan Database and will then release the new loans. Standard: Weekly Options: None SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Must be returned to Campus Partners with corrections. Program, Sublender, Lender or System All Unpostable New Loans, New Loan Corrections, Reconstruction Loans, and Reconstruction Loan Corrections processed during the reporting period. Standard: Program Batch Number/Borrower Name/Borrower Number/Loan Number/Sequence Number. Option: Program Batch Number/Loan Number/Sequence Number. TOTALS MISCELLANEOUS NOTES None The unpostable reasons associated with the Loan Data will be printed above the program/loan number. The unpostable reasons associated with the Advance Data will be printed to the left of the advance in question. Page 2-17

52 Enrolled Loan Processing UNPOSTABLE NEW LOANS RESPONSE DOCUMENT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK WEEK ENDING 07/31/04 PAGE: 1 ********************************************************************************************************************************************************* *** *** *** ON THIS REPORT YOU WILL FIND UNPOSTABLE NEW LOANS PROCESSED DURING THE WEEK ENDING 07/31/04 EACH NEW LOAN WILL BE STORED IN OUR SYSTEM *** *** UNTIL THE DELETION DATE INDICATED. PLEASE MAKE NECESSARY CORRECTIONS AND RETURN THE REPORT. IF YOU DO NOT RETURN THE REPORT WITH CORRECTIONS *** *** BY THE DELETION DATE, THE NEW LOANS WILL BE DELETED FROM OURSYSTEM, AND WILL NEED TO RESUBMIT THEM ON NEW LOAN INPUT FORMS. *** *** *** ********************************************************************************************************************************************************* BATCH # UNPOSTABLE REASON PROG /WSI /IT# PROG# LOAN NUMBER BORROWER NAME SOC SEC # NOTE DATE LOAN AMT SEP DATE INT RATE DELETION DATE ADV DATE ADV AMT FUND # BC 0002 /0002 /0001 U0922: BORROWER IS ALREADY ON PRODUCTION DATABASE FLASH II, CHARLES P /24/04 1, /01/ * 01/31/05 * 06/24/04 1, /0002 /0044 U0922: BORROWER IS ALREADY ON PRODUCTION DATABASE SMITH, GEORGE /09/ /01/ * 01/31/05 * U0004: FUND ISSUE NUMBER NOT IN TABLE 06/09/ /0002 /0045 U0922: NOTE DATE MUST NOT BE > SEPARATION DATE FOSTER, BOBBIE JEAN /21/04 1, /01/ * 01/31/05 * 06/21/04 1, /0002 /0047 U0922: SEPARATION DATE MUST BE ENTERED BURKE, MIKE /17/04 1, * 01/31/05 * 06/17/04 1, Page 2-18

53 Enrolled Loan Processing 2.6 Unpostable Advances Response Document (Standard Report) PURPOSE INTENDED USE REPORT FREQUENCY The Unpostable Advances Response Document provides the customer with a list of all unpostable advances processed during the reporting period, a reason why the advances could not be processed and a space to enter the corrected data. Additional information is provided whenever possible to facilitate the error correction. The customer must make necessary corrections to the data directly on the report and return it to Campus Partners. A space is provided immediately below each data element to write in the corrections. Campus Partners personnel will use the returned report to correct data stored in the Advances Database and will release the advances. Standard: Weekly Options: None SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Must be returned to Campus Partners with corrections. Program, Sublender, Lender or System All unpostable advances processed during the period. Standard: Program Batch Number/Borrower Name/Borrower Number/Loan Number/Sequence Number/Item Number Option: Program Batch Number/Loan Number/Sequence Number/Item Number TOTALS None Page 2-19

54 Enrolled Loan Processing UNPOSTABLE ADVANCES RESPONSE DOCUMENT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK WEEK ENDING 07/31/04 PAGE: 1 ******************************************************************************************************************************************************** *** *** *** ON THIS REPORT YOU WILL FIND UNPOSTABLE ADVANCES PROCESSED DURING THE WEEK ENDING 07/31/04 EACH ADVANCE WILL BE STORED IN OUR SYSTEM *** *** UNTIL THE DELETION DATE INDICATED. PLEASE MAKE NECESSARY CORRECTIONS AND RETURN THE REPORT. IF YOU DO NOT RETURN THE REPORT WITH CORRECTIONS *** *** BY THE DELETION DATE, THE ADVANCES WILL BE DELETED FROM OUR SYSTEM, AND YOU WILL NEED TO RESUBMIT THEM ON AN ADVANCE TRANSMITTAL. *** *** *** ******************************************************************************************************************************************************** BATCH # UNPOSTABLE REASON PROG /WSI /IT* PROG# LOAN NUMBER BORROWER NAME ADV AMT ADV DATE N SEP DATE ST SEP DATE NOTE DATE INT RATE DELETION DATE 0001 /0124 /017 U2658: ADVANCE DATE ALREADY ON DATABASE VENTUR, MARIA /28/04 00/00/ /00/00 00/00/ ** 01/31/05 ** 0002 /2954 /026 U0700: BORROWER NOT ON PROD, NL, OR CONV DATABASE MONILLA, SANDY /27/04 00/00/00 00/00/00 00/00/ ** 01/31/05 ** 0002 /2954 /009 U2440: NEW SEP DATE LESS THAN ADVANCE DATE PAGE, JOHN /27/04 00/00/ /01/04 08/15/ ** 01/31/05 ** 0002 /2954 /025 U2659: ADVANCE DATE MUST BE GREATER NOTE DATE RIVERS, KATHRYN /28/04 00/00/ /31/06 09/28/ ** 01/31/05 ** 0002 /2954 /028 U2659: CANNOT POST ADVANCE TO ACCOUNT IN REPAYMENT STEVENSON, RAMONA /26/04 05/01/ /20/03 09/27/ ** 01/31/05 ** Page 2-20

55 Enrolled Loan Processing 2.7 Separation Date Verification Report (Standard Report) PURPOSE INTENDED USE REPORT FREQUENCY The Separation Date Verification Report provides a simple, easy-to-use turnaround document to input changed separation dates for selected enrolled loans. Upon receiving this report, the lender must verify that the current separation dates shown on the report are correct. If they are, no action is required. If some dates are incorrect, a new date should be entered in the space provided under the heading NEW SEP DATE. If any corrections have been entered, the report must be returned to Campus Partners. Standard: Quarterly Options: Weekly or Monthly (for an additional charge), Semi-annually, or Annually Semi-annual reports are produced on one of two sets of dates as follows: 1. The end of December and June. 2. The end of January and July. SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA Returned to Campus Partners if corrections are needed Program, Sublender, Lender or System Customers selecting a monthly report frequency have two options in terms of selection: Option One - All borrowers who separated during the past month and those scheduled to separate during the next three months. Option Two - All borrowers who separated during the past month and those scheduled to separate during the next six months. Customers selecting a quarterly (standard) report frequency will receive a listing of all borrowers who separated in the past month and those scheduled to separate during the next three months. Customers selecting a semi-annual report frequency will receive a listing of all borrowers who separated during the past month and those scheduled to separate in the next six months. Page 2-21

56 Enrolled Loan Processing Customers selecting an annual report frequency will receive a listing of all borrowers who separated during the past month and those scheduled to separate in the next twelve months. SORT SEQUENCES Standard: Alpha by Separation Date (calendar order - yy/mm)/borrower Name/Borrower Number/ Program Number/Loan Number Options: 1. Separation Date (calendar order - yy/mm)/loan Number/Program Number 2. Borrower Name/Borrower Number/ Program Number/Loan Number 3. Loan Number/Program Number 4. Division of Labor (alpha on name)/separation Date (calendar order - yy/mm)/borrower Name/Borrower Number/ Program Number/Loan Number 5. Division of Labor (numeric on Loan Number)/Separation Date (calendar order - yy/mm)/loan Number/Program Number 6. Division of Labor (alpha on name)/borrower Name/Borrower Number/ Program Number/Loan Number 7. Division of Labor (numeric on Loan Number)/Loan Number/Program Number TOTALS MISCELLANEOUS NOTES Totals will be provided based on borrowers and loans. If a borrower has more than one loan with separation dates in different months, all the loans will be grouped with the first loan scheduled to separate. In some cases, numeric sorts will not allow all of a borrower's loans to appear together. This report is not available on microfiche. Corrections or changes to separation dates also can be sent in via magnetic tape. Page 2-22

57 Enrolled Loan Processing SEPARATION DATE VERIFICATION REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 1 ********************************************************************************************************************************** ********************************************************************************************************************************** ********* ******** **************************** E N T E R C O R R E C T T I O N S O N L Y **************************** ********* ******** ********************************************************************************************************************************** ********************************************************************************************************************************** CURRENT NEW ENRL NEW ENRL NEW SEP. DATE SEP. DATE PROG # LOAN NUMBER BORROWER NAME STATUS STATUS EFFECTIVE DATE 01/06/ BECK, BARBARA A 10 01/06/ JOHNSON, KERRY L 10 01/06/ LIPSCOMB, EMILY A 10 01/06/ MARINO, LEWIS B 10 01/06/ MCGOWAN, SONNY 10 01/06/ QUINTANA, SAHARA 10 LOANS 6 BORROWERS 6 02/06/ RYERSON, RANDY 50 02/06/ /06/ SWEETS, CHRISTINA 10 LOANS 3 BORROWERS 2 03/06/ ABBOTT, MICHAEL S 10 03/06/ ALBERT, MARIAN 10 03/06/ ALEXANDER, ELIZABETH 10 03/06/ ALLEN, SANDRA 10 03/06/ AMADIO, ARTHUR 10 03/06/ ANDINO, NORA 10 03/06/ ANTHONY, STUART 10 03/06/ ARTHUR, HERBERT 10 03/06/ AUMACK, DAVID 10 LOANS 9 BORROWERS 9 GRAND TOTALS LOANS 18 BORROWERS 17 Page 2-23

58 Enrolled Loan Processing 2.8 Enrolled and Grace Borrowers Report (Standard Report) PURPOSE INTENDED USE The Enrolled and Grace Borrowers Report provides the customer with loan information and exit interview data on all borrowers with loans in enrolled and grace statuses. You should use this report to compare financial aid information with Campus Partners data before Exit Interview Packages are produced. This report also can be used to: 1. Verify amount advanced to students in current fiscal year (ADV YTD); and 2. To verify the separation dates. REPORT FREQUENCY Standard: Quarterly Options: Monthly (for an additional charge), Semi-annually, Annually This report also is available on magnetic tape. SUGGESTED RETENTION CONSOLIDATION LEVELS One academic year Program, Sublender, Lender or System SELECTION All loans in an enrolled status (10, 11, or 19) and in grace status CRITERIA (20, 21, or 29) SORT SEQUENCES Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number/Program Number 2. Separation Date (month-year only)/borrower Name/Borrower Number/ Program Number/Loan Number/Sequence Number 3. Separation Date (month-year only)/loan Number/Sequence Number/Program Number 4. Division of Labor (based on borrower name)/borrower Name/Borrower Number/Program Number/Loan Number/ Sequence Number Page 2-24

59 Enrolled Loan Processing 5. Division of Labor (based on borrower name)/separation Date (month-year only)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 6. Division of Labor (based on loan number)/loan Number/Sequence Number/Program Number 7. Division of Labor (based on loan number)/separation Date (month-year only)/loan Number/Sequence Number/Program Number TOTALS If several loan programs are consolidated on this report, totals will be printed for each program. MISCELLANEOUS If the report is generated by separation date (optional sort sequences 2, NOTES 3, 5 and 7), and a borrower has two or more enrolled or grace loans with different separation dates, all loans will be displayed based on the loan with the earliest separation date. If two or more loans for a borrower are reported consecutively, the borrower name, address, telephone number, and social security number will appear only once for the borrower. If the report is generated in calendar order (optional sort sequences 2, 3, 5 and 7), a horizontal line will be printed between each monthly category. If the report is generated alphabetically (standard sort sequence and optional sort sequence 4), or if the first-level sort is calendar order and the second-level sort is alphabetical (optional sort sequences 2 and 5) and the borrower has loan(s) in repayment status, the following will be printed after the last loan: BORROWER HAS ADDITIONAL LOANS: (loan number) (STATUS XX). MO represents the number of months to separation date from the "as of" date. An "*" will appear if any of the following borrower information is missing. An "*" will also print in the missing data field. a. Borrower name b. Borrower address c. Telephone number d. Social Security number Page 2-25

60 Enrolled Loan Processing ENROLLED AND GRACE BORROWERS REPORT (EXIT INTERVIEW INFORMATION) RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 7/31/04 PAGE: 53 *BORROWER NAME ACCOUNT NUMBER ST NOTE DTE LOAN AMT LOAN BAL I INT DUE PL #PM FR PMT AMT LC LOAN REMARKS ADDRESS SOC SEC # MO SEP DATE CAP AMT CAP BAL FIN CHG INT RT F PMT DTE #ADV ADV YTD PROG#-LOAN NUMBER GRACE EX PROJ CAP TOT BAL TOT FIN TELEPHONE # WILSON, ANNE-MARIE /06/94 4, , I 119 M Y 100 BEVERLY HILLS /12/ , % 1 M /02/ WINSTON-SALEM, NC /12/ , , / WILSON, GAYLE /06/94 1, , I 25 M Y 9 STATE STREET /01/ % 1 M /02/ SOUTHBEND, NJ /01/ , , / WITHAM, BERNITA B /06/94 5, , I 116 M Y BOX /01/ , % 1 M /02/ MASON, VA /31/ , , / WOODRUFF, AMANDA /10/ I 4 Q Y 1522 WASHINGTON STREET /01/ % 1 Q /23/ SALISBURY, NC /01/ / WOMACK, ANNE /04/95 2, , I 62 M Y 514 HAM STREET /01/ % 1 M /07/ SALISBURY, NC /01/ , , / YARBOURGH, BERNICE /06/93 1, , I 25 M Y 515 VIRGINIA AVE /01/ % 1 M /01/ MOCKSVILLE, NC /31/ , , / YOUNG, TABITHA /04/95 1, , I 40 M Y 3519 GLENN AVE /01/ % 1 M /07/ CHAPEL HILL, NC /28/ , , / YOUNG, SUSAN /04/95 2, , I 55 M Y 1119 LAUREN RD /01/ % 1 M /07/ ASHEBORO, NC /01/ , , / YORK, SAMUEL /09/96 3, , I 89 M Y 407 RUTH ST /01/ % 1 M /11/ CHARLOTTE, NC /01/ , , / YOSTO, SABRINA /04/95 1, , I 40 M Y 37 ROLLINGHILL DR /01/ % 1 M /07/ FAYETTEVILLE, NC /28/ , , / ZAMMIT,CAMILLE /06/93 8, , I 118 M Y 242 FULLER AVE /01/ , % 1 M /10/ RALEIGH, NC /01/ , , / ZAYER, ABNER /04/95 3, , I 108 M Y 307 BUTLER RD /01/ % 1 M /02/00 3 1, DURHAM, NC /01/ , , / Page 2-26

61 Enrolled Loan Processing ENROLLED AND GRACE BORROWERS REPORT (EXIT INTERVIEW INFORMATION) RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 7/31/04 PAGE: 54 *BORROWER NAME ACCOUNT NUMBER ST NOTE DTE LOAN AMT LOAN BAL I INT DUE PL #PM FR PMT AMT LC LOAN REMARKS ADDRESS SOC SEC # MO SEP DATE CAP AMT CAP BAL FIN CHG INT RT F PMT DTE #ADV ADV YTD PROG#-LOAN NUMBER GRACE EX PROJ CAP TOT BAL TOT FIN TELEPHOME # *** TOTALS -- PROGRAM *** LOANS LOAN AMOUNT LOAN BALANCE ADVANCES YTD TOTALS ENROLLED - UNDERGRADUATE , , GRADUATE GRACE , , ** TOTAL ** , , *** TOTALS *** LOANS LOAN AMOUNT LOAN BALANCE ADVANCES YTD TOTALS ENROLLED - UNDERGRADUATE , , GRADUATE GRACE , , ** TOTAL ** , , NUMBER OF LOANS TO SEPARATE Page 2-27

62 Loan Maintenance Input Section 3 Loan Maintenance Input Table of Contents 3.0 Loan Maintenance Input Forms Separation Date Change Transmittal Name and Address Change Form Payment Transmittal (Itemized by Borrower) Payment Transmittal (Itemized by Loan) Default Transmittal Change/Adjustment Request Memo Rehabilitation Submittal Form September 2009 TOC

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64 Loan Maintenance Input 3.0 Loan Maintenance Input Forms The maintenance of your loan portfolio requires updates to monetary as well as non-monetary fields. Customers using DataLink can make most of these changes on-line and update those fields instantaneously. Customers who are not using our on-line system will send their changes using the following forms: Separation Date Changes Transmittal: This is a preformatted form you should use to send us updates to the separation dates. A space is available on each transaction to enter a comment into the loan history. Name and Address Change Form: On this form, you can change the name, the address or the telephone number. When changing an address, the entire address must be entered on the form. Payment Transmittal (Itemized by Borrower and Itemized by Loan): This form is used to submit payments sent directly to you by the borrowers or payments resulting from state tax offsets to Campus Partners. You can use the Itemized by Borrower or Itemized by Loan input form whichever is applicable for regular or tax offset payment submission. You also can use it for collection payment submission, however collection fees are not reported on this type of input form. For collection agency payments, send a copy of the Collection Agency Report for direct posting. Default Transmittal: This form is used to send a list of loans that must be coded as assigned to the federal government. The same form is used to code loans as accepted, to change loans from assigned to accepted status or to reverse the assigned or accepted status. Although the referral of loans has been suspended, this form can be used to code loans as referred, if necessary. Change/Adjustment Request Memo: This memo is used to communicate with your Customer Service Representative to request miscellaneous changes. September 2009 Page 3-1

65 3.1 Separation Date Change Transmittal Service Overview Manual Loan Maintenance Input September 2009 Page 3-2

66 3.2 Name and Address Change Form Service Overview Manual Loan Maintenance Input September 2009 Page 3-3

67 3.3 Payment Transmittal (Itemized by Borrower) Service Overview Manual Loan Maintenance Input September 2009 Page 3-4

68 3.4 Payment Transmittal (Itemized by Loan) Service Overview Manual Loan Maintenance Input September 2009 Page 3-5

69 Loan Maintenance Input 3.5 Default Transmittal September 2009 Page 3-6

70 3.6 Change/Adjustment Request Memo Service Overview Manual Loan Maintenance Input September 2009 Page 3-7

71 Loan Maintenance Input September 2009 Page 3-8

72 Loan Maintenance Input September 2009 Page 3-9

73 Loan Maintenance Input September 2009 Page 3-10

74 3.7 Rehabilitation Submittal Form Service Overview Manual Loan Maintenance Input September 2009 Page 3-11

75 Loan Maintenance Reports Section 4 Loan Maintenance Reports Table of Contents 4.0 Loan Maintenance Reports Student Loan Journal Borrower/Loan Number Cross Reference Report Bad Address List Changed Name and Address Report Borrowers Without a Good Address Calendar Year Interest Paid Report TRA Interest Report Paid Out/Credit Balance/Write Off Report Cumulative Credit Balance Report Loans Assigned to/accepted by the U.S Inventory of Loans Referred/Assigned/Accepted to the U.S Stop Code List Small Balances Payment Transmittal Credit Bureau Report Loans to Review for Cohort Default Rate Loans to Review for Cohort Default Rate - Projected Deferment/Cancellation Detail Report TOC

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77 Loan Maintenance Reports 4.0 Loan Maintenance Reports These are reports used in the general maintenance of the loan portfolio: Student Loan Journal: standard monthly report Borrower/Loan Number Cross Reference: standard quarterly report Bad Address List: standard monthly report Changed Name and Address: standard monthly report Borrowers Without a Good Address: optional quarterly report Calendar Year Interest Paid Report: optional annual report TRA Report: optional annual report Paid Out/Credit Balance/Write Off: standard monthly report Cumulative Credit Balance: optional quarterly report Loans Assigned to/accepted by the U.S.: standard monthly report Inventory of Loans Referred/Assigned to the U.S.: standard quarterly report Stop Code List: standard quarterly report Small Balances Payment Transmittal: standard quarterly report Credit Bureau Report Loans to Review for Cohort Default Rate: standard monthly report Loans to Review for Cohort Default Rate Projected: standard monthly report Deferment/Cancellation Detail Report: standard monthly report September 2009 Page 4-1

78 4.1 Student Loan Journal (Standard Report) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY The Student Loan Journal is a comprehensive summary of the borrower s loan(s), including demographic data, monetary data and historical data. This report should be used to answer borrower inquiries and to make decisions on the most frequently occurring situations. Standard: Monthly Options: Weekly, Quarterly, Semi-annually, Annually SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA Permanent Program, Sublender, Lender or System All loans with the following exceptions: Status 10 - Enrolled Undergraduate 11 - Enrolled Graduate 90 - Paid Out 91 - Disability 92 - Bankruptcy 93 - Accepted by the U.S Automatic Write-off 95 - Manual Write-off 96 - Death Closed Loans (9x status) continue to appear on this report for a period of at least six months after the closed date, after which they will print on the June and December versions of the Student Loan Journal. All enrolled (1x status) loans will also appear on the June and December reports. Exceptions to the selection criteria are as follows: 1. Loans in an enrolled status (10 or 11) and having interest billed. 2. If a borrower has loans in two or more statuses and one status qualifies to appear on the report, all of the borrower s loans will be printed. For example: A borrower has a deferred loan and an enrolled loan; both records are printed. If, however, one loan is paid out (and has been in 9X status more than seven months) and a second loan is in another status, only the second loan will be printed.) Note: Customers have the option to have enrolled loans, paid out loans, or both printed every month on the Student Loan Journal (for an additional fee.) September 2009 Page 4-2

79 Loan Maintenance Reports SORT SEQUENCES Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha range on name)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric range on loan number)/loan Number/Sequence Number/Program Number MISCELLANEOUS If loan is still in repayment and the loan is accelerated, NOTES zeros are placed in all due fields: 1. Currently due 2. Late charge due 3. Collection fees due 4. Other cost due 5. Billed interest due The payoff amount is printed in the Past Due field. If a borrower appearing on this report has two or more loans, the second and subsequent addresses are not printed. An exception to this will be if an institution selected the optional sort #1 (Loan Number/Program Number/Sequence Number) and a borrower s loan numbers were not consecutive. The cancellation data fields appearing on the Student Loan Journal include cancellation base amount, cancellation base balance, and cancellation base percentage. Federal Perkins Loans 1. National Direct Funds: Base Amount = Loan Amount Base Balance = Loan Balance Base Percentage = 100% 2. National Defense Funds: Base Amount = Base Balance = The amount eligible for military cancellation (disbursed between April 13, 1970 and June 30, 1972). The balance of the funds eligible for military cancellation. September 2009 Page 4-3

80 Loan Maintenance Reports Base Percentage = The percentage of this loan which is eligible for military cancellation. (Base Amount Loan Amount) Note: 1. Borrowers who have both Defense and Direct funds are shown with two separate loans. 2. The total amount disbursed to the borrower under the National Defense Program is the loan amount. HPSL/NSL Loans: Base Amount = Loan Amount (see note below) Base Balance = Loan Balance Base Percentage = 100% Note: 1. If the borrower has paid or owes any principal on this loan prior to the first day of eligible employment, this Base Amount will be reduced by the amount of principal paid or due when the first cancellation form is received. This reduced amount will become the base on which all future cancellations will be processed. 2. Borrowers who have received funds both before and after November 18, 1971 will be shown with two separate loans. Principal paid reflects principal paid plus the capitalized balance paid. Loan amount reflects the sum of the loan amount and the cap balance. This field may be decreased if a portion of the cap balance is adjusted. September 2009 Page 4-4

81 Loan Maintenance Reports September 2009 Page 4-5

82 Loan Maintenance Reports 4.2 Borrower/Loan Number Cross Reference Report (Standard Report) PURPOSE INTENDED USE REPORT FREQUENCY The Borrower/Loan Number Cross Reference Report provides the customer with a simple, easy-to-use cross reference list of borrower names and loan numbers. This report should be used to locate the loan number when only the borrower name is known, or vice versa. Standard: Quarterly Options: Weekly or Monthly SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until next report is received. Program, System, Lender or Sublender All loans, including those in closed status, appear on the report. Standard: On left side of the page - Division of Labor (alpha range on name)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number On right side of the page - Division of Labor (alpha range on name)/loan Number/Sequence Number/Program Number Options: 1. On left side of the page - Division of Labor (numeric range on loan number)/loan Number/Sequence Number/Program Number On right side of the page - Division of Labor (numeric range on loan number)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 2. On left side of the page - Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number On right side of the page - Loan Number/Sequence Number/Program Number September 2009 Page 4-6

83 Loan Maintenance Reports 3. On left side of the page - Loan Number/Sequence Number/Program Number On right side of the page - Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number TOTALS No totals are generated. MISCELLANEOUS An alpha sort will list all the borrower's loan numbers for that NOTES borrower's name. A numeric sort will not attempt to group a borrower by loan number unless there is only a sequence number difference or the loan numbers follow each other sequentially and have a common borrower number. In this situation, the borrower's name will not be printed more than one time. A second loan number for the same borrower that is not sequential will have the borrower's name printed with it. September 2009 Page 4-7

84 Loan Maintenance Reports BORROWER/LOAN NUMBER CROSS REFERENCE RUN DATE 10/31/06 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 10/31/06 PAGE 1 BORROWER NAME RAAN PROG# LOAN NUMBER ST PROG# LOAN NUMBER ST RAAN NAME AARONS, PATRICA M YARBOROUGH, HEATHER A ABATE, JOANNA L LAMIRANDE, SANDRA ABEGGLEN, JEFFREY ABELS, DIANE PORTER, REGINALDL ABENDROTH, MARCY A ORTIZ, JOAN JORDAN ACKERMAN, GLENDA LEE FLOWERS, LEDA A ADAMS, DEBORAH E MCKAY, LINDA D ADAMS, MARY A EVANS ADEN, JILL M THOMPSON, STEPHANIE K ADLER, LEANN M HUSS, HEATHER T AESCHLIMAN, KRISTEN L AGBOGLO, MARIA C MARYOTT, SHIELA MARIE AGGEN, AMYE J NIXON, GLADYS AGGEN, ERICA L September 2009 Page 4-8

85 4.3 Bad Address List (Standard Report) Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES The Bad Address List provides the customer with a list of all addresses coded bad during the reporting period. Upon receiving this report, you should begin internal skiptracing with the various departments likely to maintain contact with former students (i.e, the alumni office). If this does not yield a new address, external skiptracing must be done using city and telephone directories, the Department of Motor Vehicles, etc. Campus Partners uses the IRS Skip Tracing Services. (See Section of the Operations Manual for further information.) Standard: Monthly Options: None Until loans have been skip traced. System, Lender, Sublender or Program All loans for which an address was coded bad during the reporting period. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha on name/ Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric on loan number)/loan Number/Sequence Number/Program Number TOTALS The number of borrowers and loans for which an address was coded bad during the reporting period. MISCELLANEOUS If the report is sorted numerically (optional sorts 1 and 3), the program NOTES number, loan number, and loan status will be printed to the left of the borrower name. If a borrower's loans are reported sequentially, the borrower's name will be printed only once. If a third address line is required (foreign address), the data in the city/state and zip code fields will be printed directly under address line 3. If the loan has no other good addresses on the system, an asterisk (*) will be printed to the left of the borrower name (for standard sort and optional sort 2) or to the left of the program number (for optional sorts 1 and 3). September 2009 Page 4-9

86 Loan Maintenance Reports BAD ADDRESS LIST RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK MONTH ENDING 07/31/04 PAGE: 1 BORROWER NAME PROG# LOAN NUMBER ST ADDRESS(ES) PHONE NUMBER A.T. DRIVERS LICENSE ADR CHG POST DATE GORE, GARY MCMAHON 1234-B 402 RADCLIFF ST SEATTLE WA / P WA /97 12/12/97 LEA, MARY C 140 W GEORGIA RD 8 QUAIL OAKS WINSTON-SALEM NC / P NC /97 12/25/ C *LOFTON, JOHN HAMOND AVE. COLUMBIA, SC / P SC /97 12/27/97 TOTAL BORROWERS: 3 TOTAL LOANS: 5 September 2009 Page 4-10

87 4.4 Changed Name and Address Report (Standard Report) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY The Changed Name and Address Report provides the customer with a list of borrowers whose names and/or addresses changed during the reporting period. This report should be used to update the institution's files with new names and/or addresses. Standard: Monthly Options: Weekly SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until files are updated. Program, Sublender, Lender or System All borrowers with an address (billing, primary or secondary) and/or name change processed during the reporting period. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number/Post Date Options: 1. Loan Number/Sequence Number/Program Number/Post Date 2. Division of Labor (alpha based on borrower name)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number/Post Date 3. Division of Labor (numeric based on loan number)/loan Number/Sequence Number/Program Number/Post Date TOTALS Number of names and addresses changed during the reporting period. Separate totals pages will be produced if a Division of Labor sort is requested. MISCELLANEOUS If a borrower has a name change only, the report will display the new NOTES name below the old name. The address will not be displayed. If only a phone number is changed, an entry for the borrower will not be made. This change will be shown on the Transaction and Adjustments Journal. September 2009 Page 4-11

88 Loan Maintenance Reports If a name and address change are processed, the new name will appear directly under the old name. If an address is changed twice within a month, both changes will be shown in sequence. All loans affected with a name/address change will be listed. If loans fall sequentially, all demographic information will be printed only once. The program number, loan and sequence numbers, days/months past due, and status will be printed for each loan. The Changed To column will also display secondary or billing addresses which are being added to the system for borrowers who previously did not have any. In this case, the Changed From column will be blank. September 2009 Page 4-12

89 Loan Maintenance Reports CHANGED NAME AND ADDRESS REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK MONTH ENDING 07/31/04 PAGE: 1 CHANGED TO: CHANGED FROM: BORROWER NAME POST DATE SOURCE ADDRESS PHONE NUMBER ADDRESS PHONE NUMBER PROG# LOAN NUMBER DAYS/MONTHS STAT A.T. A.T. DEMO, PAMELA 07/15/04 B 23 LURAY ROAD 555/ LYRAY ROAD /0 40 ANYTOWN ANYTOWN USA P DEMO, LYNN P. 07/12/04 B 4956 SENECA ROAD 555/ WEST 7TH STREET 555/ /1 49 ANYTOWN USA P ANYTOWN, USA P /1 49 DEMO, WILLIAM 07/11/04 B 709 S. MAIN STREET 555/ SOUTH MAIN 555/ /0 40 APT. G-6 S ANYTOWN USA S ANYTOWN, USA DEMO, VICTOR P - OLD 07/20/04 B DEMO III, VICTOR P - NEW 1/ NUMBER OF LOANS WITH NAME CHANGES 1 NUMBER OF LOANS WITH ADDRESS CHANGES 4 NUMBER OF LOANS WITH PHONE NUMBER CHANGES 4 September 2009 Page 4-13

90 4.5 Borrowers Without a Good Address (Optional Report) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE The Borrowers Without a Good Address Report provides the customer with a list of loans that do not have a good address. It will contain all bad addresses to facilitate the customer's skip trace efforts. This report is the signal that Campus Partners has no good addresses for the loans shown on this report. This report is a signal to the lender to initiate an address search among its offices such as the alumni office or submit the borrower's driver's license number to the Department of Motor Vehicles. The borrower's file should contain valuable information obtained during the exit interview to enable the student loan collector to trace a borrower (such as driver's license date and number, name and address of relatives and references, type of studies (indicative of future profession) etc.) REPORT FREQUENCY Standard: Quarterly Options: Weekly or Monthly SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until loans have been skip traced. System, Lender, Sublender or Program All loans without any good addresses on the system. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha range on name)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric range on loan number)/loan Number/Sequence Number/Program Number TOTALS The number of borrowers and loans without a good address. September 2009 Page 4-14

91 Loan Maintenance Reports MISCELLANEOUS Addresses will be printed as shown in the sample. NOTES If a customer selects a numeric sort on a loan or program, the program number, loan number, consolidation number, and status should appear to the left of the borrower name. If a third address line is required for a foreign address, the data in the City/State and ZIP Code fields will be printed directly under address line 3. The ZIP Code field will be printed to the immediate right of the City/State field. If a borrower has more than one loan and no good addresses, and his loans fall sequentially, each address (billing, primary, or secondary) will be printed only once. If the borrower has any billing addresses, the billing addresses may be matched to the corresponding loans by matching the consolidation number listed for the loan and the address sequence number listed for the address. September 2009 Page 4-15

92 Loan Maintenance Reports BORROWERS WITHOUT A GOOD ADDRESS RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 1 BORROWER NAME PROG# LOAN NUMBER CON ST ADDRESS(ES) PHONE NUMBER A.T. DRIVERS LICENSE ADR CHG COHORT DF RP FLG DEMONSTRATION, BIRDIE G CEDAR PARK HOMES MARYVILLE GA / P 05/04 NO Y1 DEMONSTRATION, CLINT SEARCHLIGHT AVENUE CHESTERVILLE VA / P 07/04 NO TOTAL BORROWERS: 2 TOTAL LOANS: 2 September 2009 Page 4-16

93 4.6 Calendar Year Interest Paid Report (Optional Report) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY The Calendar Year Interest Paid Report indicates the interest paid by borrowers during the previous calendar year. You should use this report to provide the interest paid during the calendar year to borrowers who request this information for tax purposes. This information is printed automatically on all bills and notices sent to borrowers during January, February and March. However, because deferments or postponements could be in effect at that time, some borrowers might contact you for this information. Standard: Annually Options: None SUGGESTED RETENTION CONSOLIDATION LEVEL SELECTION CRITERIA SORT SEQUENCES One year Program, Sublender, Lender or System The report shows all loans except those that have been in a closed status (paid, canceled, etc.) for more than 12 months. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number This report will be offered only in alpha sort by borrower name. A numeric sort would not allow all of a borrower's loans to appear together. Options: None TOTALS Total of all principal paid during the calendar year. MISCELLANEOUS This report will be produced annually at the end of each NOTES calendar year. The Interest Paid field will include all interest paid to include hardship, billed, premium, interest on capitalized balance, etc. An asterisk (*) to the left of the borrower's name indicates that there is at least one more loan for this borrower in the next column. The Interest Paid field will be incorrect for loans converted during the calendar year unless the institution supplied the correct data to Campus Partners during the conversion process. Interest Paid and Total Paid include Capitalized Interest Paid. September 2009 Page 4-17

94 Loan Maintenance Reports CALENDAR YEAR INTEREST PAID RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 1 * * *************************************************************************************************** * * * * * * * * * * * IF THE LOANS SHOWN ON THIS REPORT WERE NOT ON OUR SYSTEM FOR THE ENTIRE CALENDAR YEAR, THE * * * * * * INTEREST PAID FIELDS MAY NOT REFLECT THE ENTIRE AMOUNT PAID BY THE BORROWER DURING THE YEAR. * * * * * * * * * * * *************************************************************************************************** * * BORROWER NAME PROG#-LOAN-NUMBER INT PAID CONVDATE BORROWER NAME PROG#-LOAN NUMBER INT PAID CONV DATE ALLAN, JAMES KEIFFER, MARGARET ANDERSON, LARRY LIVINGSTON, MELANIE BRADLEY, MORGAN MARTIN, JONATHAN CARLTON, NORMA MCDONALD, RAYMOND DAVIS, CARLTON NORMAN, AUBREY ELLIOTT, PAUL PARKER, GEORGE FULLER, ROBERT RICHARDSON, ELAINE HARTLEY, DREW STEWART, OMAR A HOLMES, CHARLES WASHINGTON, THERESA September 2009 Page 4-18

95 4.7 TRA Interest Report (Optional Report) Loan Maintenance Reports PURPOSE The TRA Interest report lists all borrowers who were sent a Form 1098-E for interest paid during the previous calendar year. INTENDED USE This report should be used to provide eligible TRA interest paid during the previous calendar year to borrowers for tax purposes. This information is printed on the Form 1098-E which is sent to the borrower. The amount of eligible interest included on the report will vary from the calendar year interest paid due to the eligibility period of TRA interest. REPORT FREQUENCY Standard: Annually SUGGESTED RETENTION CONSOLIDATION LEVEL SELECTION CRITERIA Permanent System/Lender This report lists all borrowers that have a qualified educational loan and who have paid eligible TRA interest during the previous year. SORT SEQUENCES Standard: SSN Options: None TOTALS MISCELLANEOUS NOTES N/A TRA interest includes only interest paid during the first 60 months of repayment. This report represents the information reported on the Form 1098-E to the borrower. Only borrowers with amounts over $ were reported to the IRS. This report is standard for schools who use the tax reporting option. September 2009 Page 4-19

96 Loan Maintenance Reports SAMPLE UNIVERSITY TRA INTEREST GE 1 SYSTEM-LENDER SOCIAL SECURITY # BORROWER ADDRESS AMT REPORTED TO BORR BORROWER NAME (ONLY AMTS OVER $600 PROGRAM/LOAN # REPORTED TO THE IRS) SHEATS LANE DEMO, DEBBIE ANYTOWN USA DUKE ST APT DEMO, JAMES ANYTOWN USA UNION SQUARE APT DEMO, NORMA ANYTOWN USA September 2009 Page 4-20

97 4.8 Paid Out/Credit Balance/Write Off Report (Standard Report) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY The Paid Out/Credit Balance/Write Off Report provides a list of all loans that have entered a closed or to-be-closed status. You can use this report to record paid-out loans, return promissory notes, and/or send refund checks to borrowers. Standard: Monthly Options: None SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until promissory notes have been returned and/or refunds made to borrowers. Program, Sublender, Lender or System All loans in 80, 85, 90, 94 or 95 status with a Last Monetary Activity Date two months before the month of the report. Standard: Borrower name/borrower number/program number/loan number/sequence number Options: 1. Loan number/sequence number/program number 2. Division of Labor (alpha on borrower name)/borrower name/borrower number/program number/loan number/sequence number 3. Division of Labor (numeric on loan number)/loan number/sequence number/program number TOTALS Number of loans printed on the report. (See sample report.) MISCELLANEOUS If loans are sorted alphabetically (standard sort sequence and optional NOTES sort sequence 2), borrower name will be printed at the left margin with program number indented two spaces. If loans are sorted numerically (optional sort sequences 1 and 3), program number will be printed at the left margin with borrower name indented two spaces. September 2009 Page 4-21

98 Loan Maintenance Reports PAID OUT-CREDIT BALANCE-WRITE-OFF REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS DEMO UNIV-PERK AS OF 7/31/04 PAGE: 1 PROG# LOAN NUMBER AS ADDRESSS LOAN AMOUNT LAST PMT AMT STATUS PAID OUT DATE PAID OUT/CLOSED REASON BORROWER NAME LOAN BALANCE LAST PMT DTE COL AGCY LAST ACT DATE ADDITIONAL LOANS STATUS G 200 JOHNSTON ST /21/97 LOW BALANCE WRITE-OFF DAVIS, JANE PARNELL BENNETTSVILLE NC /11/ /21/ G APT 25-A /11/97 PAYMENT DEERING, REGGIE UNIVERSITY PLAZA /11/ /00/00 COLUMBIA NC G 3605 COLUMBO DR /17/97 PAYMENT FRANK, REBECCA ATLANTA GA /15/ /00/ G 2130 STEWARD RD /20/97 LOW BALANCE WRITE-OFF GILLESPIE, MELANIE LIBERTY CA /20/ /20/ G 1828 WOODLAWN ST /14/97 PAYMENT GRAHAM, TONI SMITHFIELD AZ /09/ /00/ G 320 S. BELTLINE /18/97 LOW BALANCE WRITE-OFF HALE, WILMA COLUMBIA SC /18/ /18/ TOTAL NUMBER OF LOANS: 6 TOTAL LOAN BALANCE: September 2009 Page 4-22

99 4.9 Cumulative Credit Balance Report (Optional Report) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA The Cumulative Credit Balance Report provides a list of all loans which have a credit balance. Use this list to send refund checks or to make adjustments for borrowers who have overpaid their loans. Standard: Quarterly Options: Semi-annually or Annually Until next report is received. Program, Sublender, Lender or System All loans which meet the following criteria: 1. Status equals All loans with a Paid-Out Date or Write-Off Date three or more months before the report date. (If these fields reflect activity, the Paid-Out Date will be used for the selection criteria. Criteria (b) will prevent loans that appear (or have not appeared yet) on the current month's Paid Out/Credit Balance/Write Off Report from printing on this report. SORT SEQUENCES Standard: Borrower name/borrower number/program number/loan number/sequence number Options: 1. Loan number/sequence number/program number 2. Division of Labor (alpha on borrower name)/borrower name/borrower number/program number/loan number/sequence number 3. Division of Labor (numeric on loan number)/loan number/sequence number/program number TOTALS Number of loans printed on the report. If the Division of Labor sort is selected, a Portfolio Totals Page will be printed. MISCELLANEOUS If loans are sorted alphabetically (standard sort sequence and optional NOTES sort sequence 2), borrower name will be printed at the left margin, with program number indented two spaces. If loans are sorted numerically (optional sort sequences 1 and 3), program number will be printed at the left margin, with borrower name indented two spaces. September 2009 Page 4-23

100 Loan Maintenance Reports CUMULATIVE CREDIT BALANCE REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 7/31/04 PAGE: 1 PROG# LOAN NUMBER AS ADDRESSS LOAN AMOUNT LAST PMT AMT STATUS PAID OUT DATE PAID OUT/CLOSED REASON BORROWER NAME LOAN BALANCE LAST PMT DTE COL AGCY ADDITIONAL LOANS STATUS G 70 WALNUT COVE /14/97 PAYMENT KELLY, JOHATHAN CAMDEN NJ /01/ G 3010 DUNCAN AVE. 3, /28/97 PAYMENT MAHONEY, CYNTHIA L # /12/ COLUMBIA NC G RT 2 BOX 2B 1, /18/97 PAYMENT MONEY, CINDY LEEVILLE SC /15/ G 23 QUEEN ST /30/97 PAYMENT RAINEY, LIZ KAY CHARLESTON, WV /27/ G 302 VIOLET DR /12/97 PAYMENT SIMMONS, GARVIN SUMMERTON MA /30/ G 320 S. BELTLINE /28/97 PAYMENT SMITH, BOBBIE APT, 16-H /12/ TAMPA FL G BOX , /25/97 PAYMENT AND CREDIT BALANCE WADE, JOSEPH CAMP LEJUENE /15/ TOTAL NUMBER OF LOANS: 7 TOTAL LOAN BALANCE: September 2009 Page 4-24

101 4.10 Loans Assigned to/accepted by the U.S. (Standard Report Federal Perkins) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY This report shows all loans that were coded assigned to or accepted by the U.S. Department of Education during the reporting period. Use this report to verify input submitted to Campus Partners. It provides a supplement to the Inventory of Loans Referred/Assigned to the U.S. Report. Standard: Monthly Options: Weekly SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until reconciled with lender's records. Program, Sub-lender, Lender or System All Federal Perkins loans which were coded assigned to or accepted by the U.S. Department of Education during the reporting period or on which the assigned status was reversed. Standard: Loans Assigned, Loans Accepted/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loans Assigned, Loans Accepted/Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha range on name)/loans Assigned, Loans Accepted/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric range on loan number)/loans Assigned, Loans Accepted/Loan Number/Sequence Number/Program Number TOTALS If a Division of Labor sort is requested, a separate Portfolio Totals page also will be printed. September 2009 Page 4-25

102 Loan Maintenance Reports MISCELLANEOUS The report contains three sections. The first section has all loans coded NOTES as assigned to the U.S. Department of Education during the reporting period. The second section has all loans coded as accepted by the U.S. Department of Education during the reporting period. (Because loans are no longer referred to the U.S. Department of Education, this report does not include a Referred section.) The third section has all loans on which the assigned status was reversed during the reporting period. If the report is generated in alphabetical sequence (standard sort and optional sort 2), Borrower Name will be printed in the left margin. If there are no loans coded for one of the sections during the reporting period, the words No Activity will be printed to the right of the corresponding section. The field headings will not be printed. If a numerical sort sequence (optional sorts 1 and 3) is used, Program Number will be printed in the left margin. The amount of principal assigned/accepted includes the current principal balance plus the capitalized balance. September 2009 Page 4-26

103 Loan Maintenance Reports LOANS ASSIGNED TO/ACCEPTED BY THE U.S. RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 1 **** ASSIGNED LOANS **** ***** PRIOR **** BORROWER NAME PROG# LOAN NUMBER ST DATE ASSIGNED PRINCIPAL INTEREST PEN/LTCHG T COLL FEES OTHER CST TOTAL JOHNSON, ROGER DAVID /01/ P KAVANAGH, STEPHANIE /01/04 1, P , LAWRENCE, RICHARD B /01/ P MCCULLOW, SANDY MAY /01/ P REAGAN, DAVID JOSEPH /01/04 2, P , STAUTZ, GLENN ALLEN /01/04 1, P , TOTAL ASSIGNED: NUMBER OF LOANS: 6 7, P , L **** ASSIGNED REVERSALS **** ***** PRIOR **** BORROWER NAME PROG# LOAN NUMBER DATE ASSIGNED ST DATE REVERSED PRINCIPAL INTEREST PEN/LTCHG T COLL FEES OTHER CST TOTAL LAWRENCE, RICHARD B /01/ /01/ P TOTAL REVERSED: NUMBER OF LOANS: P GRAND TOTAL: NUMBER OF LOANS: P L **** ACCEPTED LOANS **** ***** PRIOR **** BORROWER NAME PROG# LOAN NUMBER ST DATE ASSIGNED DATE ACCEPTED PRINCIPAL INTEREST PEN/LTCHG T COLL FEES OTHER CST TOTAL ATKINS, SHERRY ANN /02/04 1, P , BOSS, GERRY T /01/04 09/02/04 1, P , CRUISE, TOM D /25/04 5, P , DOOLEY, SUSIE /01/ P JOHNSON, ROGER DAVID /01/04 09/20/ P KAVANAGH, STEPHANIE /02/04 1, P , KAVANAGH, STEPHANIE /01/04 08/02/04 1, P , LAWRENCE, RICHARD B /01/04 09/10/ P MAYS, MICHAEL A /01/04 09/10/04 2, , P , MCCULLOW, SANDY MAY /01/04 09/10/ P MCCULLOW, SANDY MAY /01/04 6, P , REESE, EMILY /01/04 2, P , REAGAN, DAVID JOSEPH /01/04 09/01/04 2, P , STETTMEIER, KATHRYN /01/04 1, P , STAUTZ, GLENN ALLEN /01/04 09/01/04 1, P , TOTAL ACCEPTED: NUMBER OF LOANS: 15 28, , P , L September 2009 Page 4-27

104 Loan Maintenance Reports 4.11 Inventory of Loans Referred/Assigned/Accepted to the U.S. (Standard Report Federal Perkins) PURPOSE INTENDED USE REPORT FREQUENCY This report provides a listing of all loans in a Referred, Assigned or Accepted status. Use this report to verify input submitted to Campus Partners. This report may also serve as a reference for government reporting and correspondence. Standard: Quarterly Options: Semi-annually or Annually (fiscal year end) SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until next report is received. Program, Sublender, Lender or System All loans in a Referred (81), Assigned (82) or Accepted (93) status. Standard: Loans in Referred Status, Loans in Assigned or Accepted Status/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loans in Referred Status, Loans in Assigned or Accepted Status/Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha range on name)/loans in Referred Status, Loans in Assigned or Accepted Status/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric range on loan number)/loans in Referred Status, Loans in Assigned or Accepted Status/Loan Number/Sequence Number/Program Number TOTALS If a Division of Labor sort is requested, a separate Portfolio Totals page will be printed. September 2009 Page 4-28

105 Loan Maintenance Reports MISCELLANEOUS The report contains two sections. The first section has all loans NOTES which are in Referred status. (Although loans no longer are referred to the U.S. Department of Education, there might be loans that were referred before the regulation change.) The second section includes loans that are in an Assigned or Accepted status. The customer can use the Loans Assigned to/accepted by the U.S. Report, which is provided more frequently, to update this report. If the report is sorted alphabetically (standard sort and optional sort 2), Borrower Name will be printed at the left margin. If the report is sorted numerically (optional sorts 1 and 3), Program Number will be printed at the left margin. Principal will include capitalized principal. Any interest accrued will include interest accrued on the capitalized balance. September 2009 Page 4-29

106 Loan Maintenance Reports INVENTORY OF LOANS REFFERED/ASSIGNED/ACCEPTED TO THE U.S. RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 1 **** LOANS ASSIGNED **** BORROWER NAME PROG# LOAN NUMBER ST DATE ASSIGNED PRINCIPAL INTEREST PEN/LT CHG T COLL FEES OTHER CST TOTAL BARTON, MARY /15/ P CANTOR, KELLY /01/04 1, P , FULLERTON, JOEL /01/ P GRAY, RAYMOND /12/04 1, P , TOTAL ASSIGNED: NUMBER OF LOANS: 4 3, P , L **** LOANS ACCEPTED **** BORROWER NAME PROG# LOAN NUMBER ST DATE ACCEPTED PRINCIPAL INTEREST PEN/LT CHG T COLL FEES OTHER CST TOTAL ABBOTT, JANICE /02/03 1, P , ALLEN, SARA /01/ P BELL, VANNA /17/ P BOWERS, BARBARA /13/ P BENBOW, ROSEY C /06/ P CLANCY, MARGARET /28/ P DAVILL, DANIEL /17/ P FINCH, TOMMY /17/ P GRATEN, JANE E /02/02 1, P , MULLEN, STEVE /01/ P NANCEY, YVONNE /17/04 2, P , SELF, ROGER /13/04 1, P , SCHMIT, RONNIE /06/ P TOWERS, MAGGIE /28/01 2, P , TRIGGS, DAN /17/ P WALTER, TONYA /17/ P TOTAL ACCEPTED: NUMBER OF LOANS: 16 12, , P , L GRAND TOTAL: NUMBER OF LOANS: 20 16, , P , L September 2009 Page 4-30

107 Loan Maintenance Reports 4.12 Stop Code List (Standard) PURPOSE INTENDED USE REPORT FREQUENCY To provide you with a list of loans on which any of six functions has been stopped. Refer to Miscellaneous Notes for a list of these functions. The customer should review this list to ensure that it still is appropriate to stop those functions. Standard: Quarterly (2, 5, 8, 11 cycle) Options: Monthly SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until next report is received. System/Lender/Sublender Program All loans with a stop code other than 0 (zero) are selected, excluding loans in status 80, 81, 82, 85 or 9x and those currently placed with a collection agency. Standard: Borrower Name/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number 2. Division of Labor/Borrower Name/Loan Number/Sequence Number 3. Division of Labor/Loan Number/Sequence Number TOTALS Reports with sort sequences 1 & 2 will provide totals for loans with stop codes other than 0 (zero) & C for each stop code column. Totals for loans with a stop code C (collection) will also be provided, although the loans are not shown on the report. Reports with sort sequences 3 & 4 will show totals after each employee section. MISCELLANEOUS There are six functions that can be stopped. Some of these are valid NOTES only on private loan funds. To stop a given function, a reason code must be entered on the appropriate function. Below is a list of the six functions and of the reason codes: 1. Accruing Interest: Can be used for Private loan funds only. September 2009 Page 4-31

108 Loan Maintenance Reports 2. Sending Bills: Stops only paper; bill amounts continue to be added to the due fields. 3. Sending and Accruing Bills: Can be used for Private loan funds only. 4. Sending Past Due Notices: Stops only past due contacts; actual days past due continue to increase. 5. Sending Past Due Notices and Aging: Can be used for Private loan funds only. 6. Sending computer generated letters. Reason Code Values Placing any one of these values in function codes 1 through 6 causes that activity to stop: 0 = Not in use 1-5 = Requested by school 7 = Requested by school at conversion A C D F H I J K L S Z = Loan to be assigned to U.S. = Loan in collection; late charges do not accrue if in stop code function 4. Billing resumes automatically when loan is removed from collection. = Pending receipt of death certificate = Loan in collection; penalty charges continue to accrue if in stop code function 4. Billing resumes automatically when loan is removed from collection. = Pending receipt of disability papers = Judgment from small claims court = Borrower in jail = Loan in consumer credit counseling = Loan in litigation = Loan in small claims court = Loan flagged automatically for annual contact (over 850 days past due). The Stop Codes are printed on several reports, including the Student Loan Journal and Past Due Loans Report. September 2009 Page 4-32

109 Loan Maintenance Reports STOP CODE LIST RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 13 STOP ACCRUING STOP SENDING BILLS STOP SENDING STOP PAST DUE NOTICES STOP PAST DUE STOP INTEREST BILL AMOUNTS AND ACCURING AND LATE CHARGES NOTICES AND GENERATION LOAN PRIVATE FUNDS CONTINUE TO BILLS-PRIVATE ACTUAL DAYS PAST AGING-PRIVATE OF AUDIT BORROWERS NAME PROG# LOAN NUMBER STATUS ONLY ACCRUE FUNDS ONLY DUE STILL ACCURE FUNDS ONLY LETTERS WILSON, DONNA M R 0 I 0 I 0 5 WILSON, ESTHER R 0 Z 0 Z 0 0 WILSON, NATHAN T R 0 Z 0 Z 0 0 WISE, KEITH R 0 A 0 A 0 A WRIGHT, JENNIFER R 0 Z 0 Z R 0 Z 0 Z 0 0 WUNSCH, DENISE B E 0 Z 0 Z 0 0 WYNN, DANIEL D R 0 Z 0 Z R 0 Z 0 Z 0 0 YOUNG, JUDITH R 0 Z 0 Z R 0 Z 0 Z 0 0 YOUNG, STEPHANIE R 0 A 0 A 0 A YOUNTZ, KARHLEEN R 0 Z 0 Z R 0 Z 0 Z 0 0 ZELLER, ALFRED R 0 Z 0 Z 0 0 TOTAL LOANS WITH STOP CODES STOP CODE 307 TOTALS: ** FOR LOANS IN COLLECTION WITH STOP CODES, SEE YOUR COLLECTION AGENCY INVENTORY September 2009 Page 4-33

110 4.13 Small Balances Payment Transmittal (Standard Report Federal Perkins) (Optional Report for Other Programs) Service Overview Manual Loan Maintenance Reports PURPOSE To provide a cumulative list of all loans that have a payoff amount of $10 or less. To provide a payment transmittal for paying off the reported loans. INTENDED USE Lender: To review the report and mark any loans that you do not want to pay off (see next page for complete instructions). REPORT FREQUENCY SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA Standard: Quarterly (2, 5, 8, 11 cycle) Until you receive the next report. Program, SubLender, Lender or System Standard: Perkins/Direct loans fitting these criteria are selected: 1. a payoff amount of $10 or less 2. a last monetary activity date 30 days or more before the report generation date 3. a status other than 81, 82, or 9x Options: You can select the minimum payoff amount that a loan must have to be selected for the report. You also can request this report for other loan programs. SORT SEQUENCES TOTALS Standard: Transaction Date/Borrower Name (alpha) Transaction Date/Program-Loan-Sequence Number (numeric) The sum of all payoff amounts listed on the report is shown on the last page. September 2009 Page 4-34

111 Loan Maintenance Reports MISCELLANEOUS NOTES The report is cumulative. Therefore, to prevent the same loans from being reported again, it is important that you return it to Campus Partners before the next report is generated. The transaction date shown on the report represents the last interest accrual date. Payments received from schools to pay off the loans will be posted as of this date. You cannot make adjustments between interest (or late charges) and principal to pay off small balances. If you pay/write-off a small balance, it does not report a negative credit rating. To Complete the Transmittal: 1. Carefully review the loans listed on the report to determine whether you want to pay them off. 2. Mark through any loans that you do not want to pay off. 3. Staple a check for the amount you want to pay off to the front of the transmittal: a. Calculate the Payoff Amount for all loans you have marked. b. Subtract this amount from the total on the last page of the transmittal. c. Write a check for this difference from a general fund. If you choose to pay off the loans as noncash transaction, you should return the transmittal without a check and make a cash deposit to reimburse the Perkins fund. 4. Complete the requested information at the end of the report. 5. Then sign the transmittal on the last page and send the check and transmittal to Campus Partners for processing. 6. It is important that you return the form to Campus Partners before the next report is generated to prevent the same loans from reappearing. September 2009 Page 4-35

112 Loan Maintenance Reports SMALL BALANCES DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK PAYMENT TRANSMITTAL PAGE: 1 AS OF 7/31/04 EMPLY.ID PMT TYPE PAYOFF COLL BORROWER NAME PROG LOAN SEQ SRC TRAN DATE AMOUNT LOAN BOEHM, LAUREN I 12/31/97 $ 1.23 BOLDIZAR, WALLACE S I 12/31/97 $ 1.63 * BOURNE, REGINA I 12/31/97 $ 1.63 * GAINES, DANIEL I 12/31/97 $ 7.82 GANIEL, WALTER T I 12/31/97 $ 6.24 MCCOURT, KENNETH I 12/31/97 $ 1.57 WILKINSON, ROSEMARY I 12/31/97 $ 6.72 * NAME: PHONE: CHECK AMT: $ TOTAL: $ * - BORROWER PAID COLLECTION COST PERCENTAGES (OR AMOUNTS) MUST BE REMOVED PRIOR TO PROCESSING PAYMENTS. September 2009 Page 4-36

113 4.14 Credit Bureau Report (Optional Report) Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FRENQUENCY SUGGESTED RETENTION CONSOLIDATION LEVEL SELECTION CRITERIA SORT SEQUENCES The Credit Bureau Report lists all loans reported to the credit bureaus as of the current month end. This report is to provide the customer with a listing of their loans that were reported to the credit bureaus. The information includes the date credit bureau reporting started or ended, the date of occurrence, the loan status that Campus Partners reported, the status the credit bureau will report, and the credit bureau s special comment, if applicable. Standard: Monthly Monthly Program/Sub-lender/Lender or System This report selects all loans on the month end report transmitted to the credit bureaus. Standard: Alpha Option: Numeric TOTALS MISCELLANEOUS NOTES N/A This report represents the loan information as it exists as of the month end for which the report was produced. It will not reflect any manual adjustments that were reported to the credit bureaus. The Date of Occurrence is the date the loan entered into its current status and is not necessarily the same date that is displayed on System III SM. September 2009 Page 4-37

114 Loan Maintenance Reports CREDIT BUREAU REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 7/31/04 PAGE: 1 PROGRAM-LOAN-SEQ NAME DATE DATE CAMPUS PARTNERS CREDIT BUREAU SPECIAL COMMENTS OPENED/ OCCURRENCE STATUS STATUS CLOSED* CHAPMAN, MARY 09/99 S 02/29/00 29/PAST DUE GRACE 84/DELINQ 180 ACCOUNT DELINQUENT 180 DAYS ANDERSON, KASEY 12/99 S 02/29/00 10/ENROLLED UNDERGRAD 11/CURR ACCT SACQUETY, JAMES 09/99 S 02/29/00 20/GRACE 11/CURR ACCT AA-STUDENT LOAN PAYMENT DEFERRED REMOVE PRIOR RPTED NEGATIVE INFO WRIGHT, TERRY 09/99 S 02/29/00 95/MANUAL WRT-OFF 13/PAID ACCT DENTON, ERIN 12/99 S 02/29/00 49C-PAST DUE/ 93/COLL ACCT CLOSED ACCOUNT/ZERO BALANCE/ IN COLLECTION NOT RATED BY CREDIT GRANTOR RUPPERT, JOAN 09/99 S 02/29/00 48-SBILL PAST DUE 82-DELING 12/ ACCOUNT DELINQUENT 120 DAYS/ SPECIAL HANDLING SPECIAL HANDLING-CONTACT SUBSCRIBER RUE, SHARON 12/99 S 02/29/00 10/ENROLLED UNDERGRAD 11/CURR ACCT HANSON, KATHY 09/99 S 02/29/00 10/ENROLLED UNDERGRAD 11/CURR ACCT D-STUDENT LOAN-PAYMENT DEFERRED September 2009 Page 4-38

115 4.15 Loans to Review for Cohort Default Rate (Standard Report - Federal Perkins) Loan Maintenance Reports PURPOSE INTENDED USE To provide you with a list of loans that represent the cohort for a given award year. The customer should review each loan and determine its status. The status code is shown in the second column. Other fields such as amounts due, last payment date and last payment amount will assist in evaluating the status of each loan. The goal is to prevent borrowers from reaching 240/270 actual days past due. Once a borrower has passed the 240/270 day threshold, you may exclude any loan on which the borrower has: Voluntarily made six consecutive monthly payments. Voluntarily made all payments currently due. Repaid the loan in full. Received a deferment or forbearance based on a condition that began prior to the loan becoming 240/270 days past due. Rehabilitated the loan after becoming 240/270 days past due. The school shall also exclude any loan which has been cancelled or paid in full because of: Death or disability Bankruptcy Closed school discharge Compromise [per (e)] Write-off [per (h)] Assigned to and conditionally discharged by ED for total and permanent disability For the purpose of this section, payments obtained through income tax offset, garnishment, income or asset execution, or pursuant to a judgement are not considered voluntary. The report provides a detail of loans for your Fiscal Operations Report, Part III, Section D. REPORT FREQUENCY SUGGESTED RETENTION Standard: Monthly Options: Weekly, Quarterly, Semi-annually, Annually Until the next report is received. The June 30 report should be maintained with the Fiscal Operations Analysis permanently. September 2009 Page 4-39

116 Loan Maintenance Reports SELECTION CRITERIA All Federal Perkins loans that entered repayment between July 1 to June 30 in the year for which the cohort default rate must be calculated. Example: For the June 30, 1997 default rate, the cohort is borrowers with a grace expiration date plus one day, in the range of 07/01/95 to 06/30/96 inclusive. SORT SEQUENCES Standard: Aging Range-Borrower Name-Borrower Number-Program- Loan-Sequence Options: 1. Aging Range-Loan-Sequence-Program Number 2. Division of Labor (alpha range on borrower name) -Aging Range-Borrower Number-Program-Loan-Sequence Number 3. Division of Labor (numeric range on loan number) - Aging Range-Loan-Sequence-Program Number The aging categories are based on actual days past due. You can select the categories, up to eight breaks. Standard Aging Breaks (based on actual days past due): 1. Current TOTALS Totals are provided at the end of each aging category, the program level and at the system level. At the end of the 240 or more category and at the System level, the report shows the total number of loans 240+ billed monthly and 270+ billed quarterly. If a Division of Labor sort is requested, the Portfolio Totals Page will display one section for each employee and a section for the portfolio as a whole. Total figures will be the sum of totals for all aging breaks. MISCELLANEOUS If the number of borrowers selected is less than 30, then borrowers who entered repayment in the previous two years will be selected and printed on the report. However, the default rate is not calculated. Example: For cohort year and the number of borrowers who entered repayment in that year is less than 30, report also includes borrowers who entered repayment during and For schools with 30 or more borrowers selected, the cohort default rate is calculated as follows: September 2009 Page 4-40

117 Number of borrowers "in default" x 100 = % Total number of borrowers in cohort Service Overview Manual Loan Maintenance Reports Loans that meet the in default criteria for the current cohort year will be identified with an asterisk beside the Actual/Special Billing Days Past Due Fields. In Default: Excludes loans in status 50, 51, 52, 59, 60, 61, 80, 84, 85, 86, 90, 91, 92, 94, 95, and 96. Includes the following borrowers: borrowers whose loans have passed the 240 day threshold (if billed monthly) and 270 actual days past due (if billed quarterly) and the borrowers default has persisted. Don't forget -- You may remove a borrower from your default calculation for the following reasons: 1. Paid in full 2. Six consecutive payments with a written payment agreement 3. An eligible deferment that reduces the number of days past due below 240/ Death cancellation Alphabetical Sort: An informational line will print for borrowers with multiple loans in the current cohort year if the loans are in different delinquency categories. For example: days days The information line will print in each category to inform you that the borrower has another loan in the cohort year. The data will include the program-loan-sequence number of the other loan, the status and the number of Actual-Special Billing Days Past Due. Note: For customers with < 30 borrowers, the information is only provided for other loans within the current cohort year. The informational line for multi-loan borrowers will not be displayed for loans that entered repayment in the prior two years. Only those loans that fall within the aging range are included in the totals for the report. Numeric Sort: All loans for a borrower within the current cohort year might not appear together within the same aging range, unless they are numbered sequentially. September 2009 Page 4-41

118 Loan Maintenance Reports LOANS TO REVIEW FOR COHORT DEFAULT RATE 01 TO 59 DAYS PAST DUE RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 2 BORROWER NAME PROG# LOAN / SEQ NUM SEP DATE LOAN AMT CURR DUE LPMT AMT N PMT DTE 1ST SBILL ACT/SBIL ADDRESS AS /AT ST PRIMARY PHONE GRACE EX LOAN BAL PAST DUE L PMT DTE L DEF END LST SBILL CB DT ID FUND# BPCC AGENCY NOTE TYPE CAP BAL DELQ CHG ACCR INT L CAN END PL/FQ/AGR STOP CODES LOAN REMARK PL FQ TOTAL BAL TOTAL DUE ACCR DTE #PMTS/YR DFLT/REHAB COMMENT DEMONSTRATION, DIANA L /01/03 1, /01/04 07/01/04 30 / CLARK APT A GOOD/P / /01/03 1, /05/04 11/01/03 12/01/04 DEERVILLE NC NO PERKINS /00/00 I /M/Y I / M 1, /31/04 001/ / NO PMT, DROP SUSPECT DEMONSTRATION, LENA D /01/01 6, /01/04 00/00/00 30 / PERKINS RD GOOD/P / /01/02 1, /17/04 01/01/03 00/00/00 DEERVILLE KS NO PERKINS /01/04 / / I / M 1, /31/04 000/ / COHORT YEAR 2003 / 2004 LOANS LOAN AMOUNT CURR DUE DELQ CHG BORRS MTHLY BORRS QRTLY BORRS LOAN BALANCE PAST DUE TOTAL DUE 240+ DAYS 270+ DAYS ACCRUED INT 2 7, , September 2009 Page 4-42

119 Loan Maintenance Reports LOANS TO REVIEW FOR COHORT DEFAULT RATE 240 AND ABOVE RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 5 BORROWER NAME PROG# LOAN / SEQ NUM SEP DATE LOAN AMT CURR DUE LPMT AMT N PMT DTE 1ST SBILL ACT/SBIL ADDRESS AS /AT ST PRIMARY PHONE GRACE EX LOAN BAL PAST DUE L PMT DTE L DEF END LST SBILL CB DT ID FUND# BPCC AGENCY NOTE TYPE CAP BAL DELQ CHG ACCR INT L CAN END PL/FQ/AGR STOP CODES LOAN REMARK PL FQ TOTAL BAL TOTAL DUE ACCR DTE #PMTS/YR DFLT/REHAB COMMENT DEMONSTRATION, BIRDIE G /01/02 1, /01/04 00/00/ / CEDAR PARK HOMES BAD /P / /01/02 1, , /00/00 00/00/00 00/00/00 MARYVILLE GA NO PERKINS /00/00 / / I / M 1, , /31/04 000/2004 Y1/ COHORT YEAR 2003 / 2004 LOANS LOAN AMOUNT CURR DUE DELQ CHG BORRS MTHLY BORRS QRTLY BORRS LOAN BALANCE PAST DUE TOTAL DUE 240+ DAYS 270+ DAYS ACCRUED INT 1 1, , , , September 2009 Page 4-43

120 Loan Maintenance Reports LOANS TO REVIEW FOR COHORT DEFAULT RATE PROGRAM TOTALS RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 6 TOTAL FOR PROGRAM COHORT YEAR 2003 / 2004 LOANS LOAN AMOUNT CURR DUE DELQ CHG BORRS MTHLY BORRS QRTLY BORRS LOAN BALANCE PAST DUE TOTAL DUE 240+ DAYS 270+ DAYS ACCRUED INT 5 21, , , , YOUR SCHOOL HAS LESS THAN 30 BORROWERS WHO ENTERED REPAYMENT 07/01/03 TO 06/30/ NUMBER OF BORROWERS WHO 2. NUMBER OF BORROWERS IN DEFAULT 3. YOUR RATE IS CALCULATED ENTERED REPAYMENT IN: STATUS ON: BY DIVIDING THE TOTAL /30/03 IN ITEM 2 BY THE TOTAL /30/04 1 IN ITEM 1: /31/04 0 ITEM 2: 1 TOTAL: 5 * TOTAL: X 100 = % ITEM 1: 5 September 2009 Page 4-44

121 Loan Maintenance Reports LOANS TO REVIEW FOR COHORT DEFAULT RATE LOANS IN DEFAULT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 AT A GLANCE PAGE: 7 BORROWER NAME PROG# LOAN / SEQ NUM STATUS ACT DAYS / SBIL DAYS DFLT CHRT YR REHAB # PAYMENTS LST PAY DT GRACE EX DEMONSTRATION, BIRDIE G / 0 Y /00/00 10/01/02 TOTAL LOANS - 1 TOTAL BORROWERS - 1 THE "AT A GLANCE" IS ALL BORROWERS WHO HAVE A Y1, Y2, Y3, OR IE DEFAULT REPAYMENT FLAG. IF YOUR SCHOOL HAS LESS THAN 30 BORROWERS, THE BORROWER TOTAL MAY NOT MATCH THE TOTAL NUMBER OF BORROWERS IN DEFAULT ON THE PROGRAM TOTAL PAGE (ITEM 2). THIS LISTING DOES NOT INCLUDE LOANS COUNTED AS DEFAULTED IN EITHER OF THE PREVIOUS TWO COHORT YEARS AND NO LONGER HAVE A DEFAULT REPAYMENT FLAG OF Y1, Y2, Y3 OR IE. September 2009 Page 4-45

122 Loan Maintenance Reports 4.16 Loans to Review for Cohort Default Rate - Projected (Standard Report - Federal Perkins) PURPOSE INTENDED USE To provide you with a list of next year s cohort group. Although this report includes next year s cohort group, it is possible for one or more of these borrowers to have reached 240/270 days past due. By sending you next year s cohort group now, you may begin contacting these borrowers early on. Remember, the goal is to prevent borrowers from reaching 240/270 actual days past due. REPORT FREQUENCY SUGGESTED RETENTION SELECTION CRITERIA SORT SEQUENCES Standard: Monthly Options: Weekly, Quarterly, Semi-annually, Annually Until the next report is received. All Federal Perkins loans that entered repayment between July 1 to June 30 in the next year for which the cohort default rate must be calculated. The options for this report are identical to the Loans to Review for Cohort Default Rate. September 2009 Page 4-46

123 Loan Maintenance Reports LOANS TO REVIEW FOR COHORT DEFAULT RATE CATEGORY: CURRENT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PROJECTED PAGE: 1 BORROWER NAME PROG# LOAN / SEQ NUM SEP DATE LOAN AMT CURR DUE LPMT AMT N PMT DTE 1ST SBILL ACT/SBIL ADDRESS AS /AT ST PRIMARY PHONE GRACE EX LOAN BAL PAST DUE L PMT DTE L DEF END LST SBILL CB DT ID FUND# BPCC AGENCY NOTE TYPE CAP BAL DELQ CHG ACCR INT L CAN END PL/FQ/AGR STOP CODES LOAN REMARK PL FQ TOTAL BAL TOTAL DUE ACCR DTE #PMTS/YR DFLT/REHAB COMMENT DEMONSTRATION, CYNTHIA R /01/03 3, /06/04 00/00/00 0 / DIXONVILLE ST GOOD/ / /01/04 3, /00/00 00/00/00 00/00/00 MARYVILLE NC NO PERKINS /00/00 / / I / M 3, /31/04 000/ / DEMONSTRATION, JASON C /01/02 3, /01/04 00/00/00 0 / 0 PO BOX 339 GOOD/P / /01/03 1, /03/04 00/00/00 00/00/00 DENNIS SC NO PERKINS /01/04 / / I / M 1, /31/04 000/ / DEMONSTRATION, MICHAEL L /01/02 9, /01/04 00/00/00 0 / SOUTH 2000 GOOD/P / /01/03 8, /25/03 05/01/04 00/00/00 SUMMERVILLE UT NO PERKINS /00/00 / / I / M 8, /31/04 000/ / DEMONSTRATION, SAMANTHA D /01/03 1, /06/05 00/00/00 0 / 0 PO BOX 1753 GOOD/P / /01/05 1, /00/00 05/01/04 00/00/00 BIGVILLE SC NO PERKINS /00/00 / / I / M 1, /31/04 000/ / COHORT YEAR 2004 / 2005 LOANS LOAN AMOUNT CURR DUE DELQ CHG BORRS MTHLY BORRS QRTLY BORRS LOAN BALANCE PAST DUE TOTAL DUE 240+ DAYS 270+ DAYS ACCRUED INT 4 16, , September 2009 Page 4-47

124 4.17 Deferment/Cancellation Detail Report Service Overview Manual Loan Maintenance Reports PURPOSE INTENDED USE REPORT FREQUENCY SUGGESTED RETENTION To provide recent deferment and cancellation information. This report lists all deferment/deferment reversal and cancellation/ cancellation reversal transactions processed during the reporting period. Standard: Monthly Options:?? Until the next report is received. SELECTION CRITERIA SORT SEQUENCES September 2009 Page 4-48

125 Loan Maintenance Reports DEFERMENT/CANCELLATION DETAIL REPORT RUN DATE: 01/31/06 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 01/31/06 PAGE: 1 BORROWER NAME PROG LOAN SEQ TYPE SOURCE REV START DT END DT PRIN CANC INT CANC PERCENT DEFERMENTS DEMONSTRATION, CYNTHIA R G B 09/07/05 06/30/06 N/A N/A N/A DEMONSTRATION, CYNTHIA R G W Y 09/07/05 06/30/06 N/A N/A N/A DEMONSTRATION, DIANA L S B 12/02/05 06/01/06 N/A N/A N/A DEMONSTRATION, DIANA L S B Y 12/02/05 06/01/06 N/A N/A N/A DEMONSTRATION, MATTHEW K S B 04/02/05 05/01/05 N/A N/A N/A DEMONSTRATION, MATTHEW K S B 04/02/05 05/01/05 N/A N/A N/A DEMONSTRATION, NATHAN D G B 01/07/06 06/30/06 N/A N/A N/A DEMONSTRATION, NATHAN D G B Y 01/07/06 06/30/06 N/A N/A N/A DEMONSTRATION, RYDER G S B 12/02/05 06/30/06 N/A N/A N/A DEMONSTRATION, RYDER G S B Y 12/02/05 06/30/06 N/A N/A N/A DEMONSTRATION, SALLY A S B 09/02/04 06/01/06 N/A N/A N/A DEMONSTRATION, SALLY A S B Y 09/02/04 06/01/06 N/A N/A N/A CANCELLATIONS DEMONSTRATION, JASON C L4 B 08/02/04 08/01/ DEMONSTRATION, JASON C L4 B Y 08/02/04 08/01/ DEMONSTRATION, MATTHEW K H4 B 12/02/04 12/01/ DEMONSTRATION, MATTHEW K H4 B Y 12/02/04 12/01/ DEMONSTRATION, SAMANTHA D H4 B 12/07/04 12/06/ DEMONSTRATION, SAMANTHA D H4 W Y 12/07/04 12/06/ September 2009 Page 4-49

126 Past Due Loans Processing Section 5 Past Due Loans Processing Table of Contents 5.0 Past Due Loans Processing Past Due Loans Reports Exception & Special Billing Report Past Due Loans Report Borrowers to Receive a Notice Report Loans Brought Current Report Loan Monitoring Report IRS Skip Trace Report Rehabilitation Monitoring Report TOC

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128 Past Due Loans Processing 5.0 Past Due Loans Processing When a borrower's loan to become past due it can be the result of hardship or negligence. System III offers several methods to address these situations after you have a signed agreement between you and the borrower: Special Billing Special Billing is a temporary change in the regular repayment schedule. During this period, you can bill the borrower more or less than the regular payment amount. We recommend that you use our special billing transaction when making satisfactory arrangements to repay the loan. With this feature you also can select the following options: 1. Past Due Days Allowed: The number of days that you allow payments to be past due before removing the loan from Special Billing. 2. Drop When Current: Choose (Y/N) whether the loan should be returned to regular billing if it becomes current before the end of the Special Billing period. 3. Change Repayment Plan or Frequency: During the Special Billing period, the repayment plan and/or frequency can be different from the regular schedule. At the end of the Special Billing period, billing resumes under the original plan and frequency. 4. Special Billing Transmittal Form: To place a loan in Special Billing, use Form 9314, the Special Billing Transmittal Form. Hardship Deferment - eligible on loans made prior to 7/1/93 Hardship Deferment is a temporary interruption of the repayment period. Interest continues to accrue during the deferment and must be paid by the end of the period. System III offers some billing options during the deferment period: 1. Bill interest during the period (required on HPSL/NSL); 2. Bill interest at the end of the period; and 3. Accrue interest, but do not bill separately (used only in conjunction with deferment type Y, when loan is renegotiated). Another option is to allow or prevent rescheduling of the loan balance at the end of the deferment. Rescheduling ensures that the loan is paid within the term. December 2008 Page 5-1

129 Past Due Loans Processing Extension of Repayment Period (eligible on all loans) Regulations published in the Federal Register of November 30, 1994, provide for an extension of the repayment period due to prolonged illness or unemployment. Forbearance (eligible on all loans) Effective 07/01/95, a forbearance can be processed if the borrower is unable to make payments due to poor health or other acceptable reasons as determined by the institution. Forbearances may be processed retroactively to 7/23/92. You can process a forbearance one of three ways: 1. temporary cessation of payments; 2. extending the repayment period; or 3. temporarily accepting smaller payments than previously scheduled. Customer Adjustment Because of the automatic reprocessing feature built in System III, we cannot have gaps in the repayment period. All periods of time must be accounted for by a transaction such as payment, cancellation/postponement or deferment. To provide customers with a means to remove bills or to prevent bills from accruing, we have two deferment types called Customer Adjustment. The Customer Adjustment allows a break in the repayment period that is not covered by any loan regulations. It works like a deferment, with a beginning and ending date. It allows the system to automatically reprocess a loan since all periods of time are accounted for. 1. Deferment type Y (customer adjustment) allows deferment of outstanding bills and/or future bills excluding accrued interest. 2. Deferment type Q (customer adjustment) allows deferment of outstanding bills and/or future bills including accrued interest (Institutional loans only). Loan Rehabilitation Loan rehabilitation for Perkins loan borrowers became available on July 1, Borrowers who request the opportunity to rehabilitate their loans must be granted that option. Campus Partners keeps you in compliance by providing your borrowers with information about rehabilitation and its availability to them as well as information about how to contact the Department of Education Ombudsman. December 2008 Page 5-2

130 Past Due Loans Processing This one-time benefit enables your borrowers to erase past negative credit history by making 12 consecutive on-time monthly payments. The payment amount is determined by the lending institution. Within 30 days after the 12 th payment is made, Campus Partners will submit a request to credit bureaus to delete the existing loan record. Loan should be placed in special billing to enable proper tracking. Judgment Loans Loans with a court-ordered judgment that allows for special payment arrangements based on that judgment. Inform Customer Service Representative to code judgment flag. Increase the interest rate as approved by the courts and apply any attorney fees as applicable. Note: Use the Hardship Deferment/Customer Adjustment Transmittal Form (Form 9315) to send us hardship deferments and customer adjustments. December 2008 Page 5-3

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133 5.1 Past Due Loans Reports Service Overview Manual Past Due Loans Processing Exception & Special Billing Report A listing of loans in Special Billing or, in Deferment, because of Hardship or Customer Adjustment. Past Due Loans Report An aging report of past due loans, not including 1. Loans in collection; and 2. Loans in exception billing Borrowers to Receive a Notice Report (Optional) A listing of borrowers who must be sent a notice. The customer selects the age break(s). Loans Brought Current (Optional) A report of loans that became current during the reporting period. Loan Monitoring Report (Optional) This is a list of loans coded for monitoring at the request of the customer. IRS Skip Tracing Report A listing of borrowers who meet the IRS Skip Tracing Guidelines. Rehabilitation Monitoring Reports A listing of borrowers who are currently in a rehabilitation status, loans that have dropped from rehabilitation, and borrowers that have completed rehabilitation. December 2008 Page 5-6

134 5.2 Exception & Special Billing Report (Standard Report) Service Overview Manual Past Due Loans Processing PURPOSE INTENDED USE REPORT FREQUENCY To summarize loans that are in special billing or deferment because of hardship (type H), forbearance (type M) or customer adjustment (types Y and Q). To monitor borrowers with a billing exception Standard: Monthly Options: Weekly, Quarterly, Semi-annually, Annually REPORT RETENTION CONSOLIDATION LEVELS Until you receive the next report. Program, Sublender, Lender, System SELECTION All loans currently in special billing (statuses 41 & 48), hardship CRITERIA deferment, forbearance, and deferment by customer adjustment (statuses 52 & 50) or past due for interest billed during hardship or customer adjustment (status 59). Loans which were in special billing, hardship deferment, forbearance, or customer adjustment and paid out during the reporting period. Loans that were dropped from special billing or loans for which the special billing, hardship deferment, forbearance or customer adjustment ended during the reporting period. When the report is sorted alphabetically, all loans for a borrower will be printed except 9x status. However, if a loan was in special billing, hardship deferment, forbearance or deferment by customer adjustment and was paid out during the reporting period, this loan will be shown. These additional loans are not included in the totals. SORT SEQUENCES Division of Labor (alpha range on Borrower Name)/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number. Division of Labor (numeric range on Loan Number)/Loan Number/Sequence Number/Program Number. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number. December 2008 Page 5-7

135 Past Due Loans Processing Loan Number/Sequence Number/Program Number. Division of Labor (alpha range on Borrower Name)/Status (41, 48, 50, 52 or 59)/Borrower Name/Borrower Number/Program Number/Loan umber/sequence Number. Division of Labor (numeric range on Loan Number)/Status (41, 48, 50, 52 or 59)/Loan Number/Sequence Number/Program Number. Status (41, 48, 50, 52 or 59)/Borrower Name/Borrower Number/Program number/loan Number/Sequence Number. Status (41, 48, 50, 52 or 59)/Loan Number/Sequence Number/Program Number. Division of Labor (alpha range on Borrower Name)/Current or past due/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number. Division of Labor (numeric range on Loan Number)/current or past due/loan Number/Sequence Number/Program Number. Current or past due/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number. Current or past due/loan Number/Sequence Number/Program Number. Division of Labor (alpha range on Borrower Name)/Current or past due/status (41, 48, 50, 52 or 59)/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number. Division of Labor (numeric range on Loan Number)/Current or past due/status (41, 48, 50, 52 or 59)/Loan Number/Sequence Number/Program Number. Current or past due/status (41, 48, 50, 52 or 59)/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number. Current or past due/status (41, 48, 50, 52 or 59)/Loan Number/Sequence Number/Program Number. December 2008 Page 5-8

136 Past Due Loans Processing TOTALS The report provides these total lines for each Division of Labor, Status and Report Consolidation: Special Billing All loans in status 41 and 48. Ended/Paid Out Total All loans that were in special billing until the current reporting period. Reversals are excluded. Sum of items above. Hardship/Forbearance/ All loans in status 50, 52 and 59. Customer Adj. Ended/Paid Out Total Grand Total All loans that were in hardship deferment, forbearance or deferred because of customer adjustment until the current reporting period. Reversals are excluded. Sum of above items. Sum of total fields. In addition to the total lines listed above, a line for the unduplicated number of borrowers is provided for reports with an alphabetical sort. If a borrower has loans in both the special billing and deferment categories, he will be counted only once in the grand total. MISCELLANEOUS Loans reversed from special billing or deferment NOTES (hardship, forbearance or customer adjustment) during the current month are not included on this report. Loans that were renegotiated using the customer adjustment type Y, plan 4, are not included on this report. The Comment field indicates specific conditions on a loan. The comments listed below and on the following pages will appear when appropriate. 1. Ends Next Period: The end date of the special billing, hardship deferment, forbearance or customer adjustment period is within the next reporting period. 2. Exception Started: A special billing or deferment (type H, M, Q or Y) has been processed on the loan and is within the present or future reporting period. December 2008 Page 5-9

137 Past Due Loans Processing 3. Excess Payment: Payment received is greater than the special bill amount or greater than the bill amount for the hardship, forbearance or customer adjustment period with a deferment plan 0 or Insufficient Pmt: Payment received is less than the special bill amount or less than the bill amount for the hardship, forbearance or customer adjustment period with a deferment plan 0 or Loan Current: Loan is current on all installments. 6. No Payment Received: No payment posted to the loan within 75 days prior to the report date. 7. Paid Out: Loan was in special billing status (41 or 48) or deferment status (50, 52 or 59) and the status changed during the reporting period to either 80, 85, 90, 91, 92, 94 or Payment Received: A payment posted to the loan within 75 days before the report date. 9. Period Ended: The end date of the special billing, hardship deferment, forbearance or customer adjustment period is within the reporting period. 10. Sb Amt Int Bill: Special billing amount is less than the accrued interest for the billing frequency 11. Sbil Current: Loan is current on special billing installments. 12. *: An asterisk preceding the comment indicates the last bill for the exception or special billing period has been generated. The Loan Amount reflects the Loan Amount plus the Capitalized Balance. The Loan Balance and the Capitalized Balance equals the Total Balance. December 2008 Page 5-10

138 Past Due Loans Processing EXCEPTION & SPECIAL BILLING REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK MONTH ENDING 7/31/04 PAGE: 1 *BORROWER NAME PROG# LOAN NUMBER PL-FR ACCR INT LOAN AMT CURR DUE L PMT AMT N PMT DTE 1ST SBIL LOAN REMARK COHORT ADDRESS SOC SEC # STAT AC-IT ACCR DTE LOAN BAL PAST DUE L PMT DTE L DEF END LST SBIL SCHED AMT SB DPD CR BUREAU A.T. PRIM PHONE DAILY INT ACT DAYS CAP BAL DELQ CHG L ACT TYP AMT CANC PL/FR/AG ADDTL AMT COL AGY ACCL DT A.S. SECD PHONE INT RATE NOT DAYS TOTAL BAL TOTAL DUE L ACT DTE L CAN END ALLOW/DP AMT BILLED COMMENT DF RP FLG *INTERIM INTEREST* FR INT RATE ACCR INT CURR DUE PAST DUE DELQ CHG TOTAL DUE ACT DAYS NOT DAYS ALVIN, EDWIN L I - M , /17/98 05/17/97 NO RT E /31/ /17/97 07/17/93 05/17/98 ALL PRIN S CHARLOTTE, NC P 714/ PAYMENT 0.00 I /M/YES BILLED /00/00 GOOD 000/ % /17/97 00/00/00 120/ NO PAYMENT RECEIVED INSUFICIENT PMT EXCEPTION STARTED LOAN CURRENT *ROBINSON, LISA J I - M , /25/97 00/00/00 YES 1010 MANNY STREET E /31/97 3, /29/97 12/25/97 00/00/ S NORFOLK, VA P 804/ ADJUST /00/00 GOOD 000/ % 6 3, /23/97 00/00/00 INT END *PERIOD ENDED ROMAN, ALICE A I - Q , /25/97 00/00/00 NO 5426 GLEN DRIVE /31/97 1, /27/97 03/25/98 00/00/ * NORFOLK, VA P 804/ DEFER 0.00 / / /00/00 GOOD 000/ % 0 1, /14/97 00/00/00 / INT END NO PMT RECEIVED LOAN CURRENT SMITH, NANCY K I - Q , /26/97 00/00/00 NO 200 WEST SEATTLE STREET E /31/97 3, /15/97 01/26/98 00/00/ S FAIRFIELD, IA P 522/ DEFER 0.00 / / /00/00 GOOD 000/ % 0 3, /15/97 00/00/00 / INT END NO PMT RECEIVED ENDS NEXT PERIOD LOAN CURRENT STEVENS, JOEY I - M , /18/94 05/18/94 NO P O BOX C /31/97 2, , /11/94 00/00/00 05/18/ S CHARLOTTE, NC P 704/ , ADJUST 0.00 I /M/YES A09/28/92 GOOD 000/ % 602 2, , /11/94 00/00/00 120/ NO PAYMENT RECEIVED ZIGLAR, SHARON ANNE I - M /09/93 00/00/00 NO BASSETT DR R /31/ /15/93 12/09/94 00/00/ S NORFOLK, VA P 000/ DEFER /00/00 GOOD 000/ % /30/94 00/00/ INT END *PAYMENT RECEIVED *ENDS NEXT PERIOD December 2008 Page 5-11

139 Past Due Loans Processing EXCEPTION & SPECIAL BILLING REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK MONTH ENDING 7/31/04 PAGE: 2 BORROWERS LOANS LOAN AMOUNT TOTAL BAL CURR DUE PAST DUE DELQ CHG TOTAL DUE SPECIAL BILLING , , , , ENDED/PAID OUT TOTAL: , , , , HARDSHIPS/CUSTOMER ADJS 2 2 6, , ENDED/PAID OUT TOTAL: 2 2 6, , GRAND TOTAL: , , , , UNDUPL # OF BORROWERS 5 December 2008 Page 5-12

140 5.3 Past Due Loans Report (Standard Report) Service Overview Manual Past Due Loans Processing PURPOSE INTENDED USE The Past Due Loans Report provides an aging of past due loans to facilitate the internal collections effort. A special version of this report is available to identify loans requiring a due diligence contact for the institution making any of the required Federal Perkins contacts or supplemental contacts. This report should be used by the student loan collector to review certain categories of past due borrowers. The purpose of this review is to take action such as: 1. Contact the borrowers and demand payment; 2 Placement with a collection agency; 3. Litigation; and 4. Assignment to the U.S. Department of Education If the collector wants to single out a few borrowers for closer monitoring, a monitoring flag can be activated that will cause the borrowers to print on the Loan Monitoring Report (see Section of the Operations Manual). REPORT FREQUENCY Standard: Monthly Options: Weekly, Quarterly, Semi-annually, Annually SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA Until next report Program, Sublender, Lender or System All past due loans falling within the range of past due days specified by the lender. However, loans placed with a collection agency and loans appearing on the Exception Billing Report do not appear on this report. Amounts past due are based on actual days past due; however, selection of a loan for appearance on this report is based on notification days past due. December 2008 Page 5-13

141 Past Due Loans Processing 1. Standard Aging Breaks: Loans 60 to 89 Days Past Due 90 to to to years or more Option: Customers can select their aging breaks. The system provides a maximum of eight separate age ranges that a customer can specify. SORT SEQUENCES Standard: Aging Range/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Aging Range/Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha range on borrower name)/aging Range/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric range on loan number)/aging Range/Loan Number/Sequence Number/Program Number TOTALS Totals are provided as follows: 1. Totals are printed after each aging break. 2. In order to provide the collector and the manager with the entire picture, the totals printed on this report will include totals for past due borrowers shown on other reports that fall within the same age category: a. Exception Billing (hardship and premium) b. In Collection If there are no values for Exception Billing or In Collection, those lines are not printed. 3. If a Division of Labor sort is requested, the Portfolio Totals Page will display one section for each employee and a section for the portfolio as a whole. Totals figures will be the sums of totals for all aging breaks. December 2008 Page 5-14

142 Past Due Loans Processing MISCELLANEOUS When the report is sorted alphabetically (standard sort and optional NOTES sort 2). 1. If a borrower has more than one loan within one program and one of them falls within an aging range, all loans will be displayed with the past due loan. 2. If a borrower has two or more loans with different levels of delinquency (i.e., one loan can be 90 days past due and a second loan can be 180 days past due), all loans will be displayed in each category. This procedure is necessary to provide the collector with a complete picture of a borrower's loan(s). 3. Only those loans that fall within the aging range are included in the totals for that range. In the above example, only the 90 day past due amount will be in the 90 day totals. When the report is sorted numerically (optional sorts 1 and 3), all of a borrower's loans might not appear together even if they fall within the same aging range, unless they are sequentially numbered. The Interim Interest field heading shown in the sample report will print only with loans for which interest is accrued and billed during nonrepayment statuses. This report is based on the notification days past due. The Loan Amount is the actual Loan Amount plus the Capitalized Balance. The Total Balance equals Loan Balance plus Capitalized Balance. The AI field represents the Acceleration Indicator. An "A" in this field will indicate automatic acceleration; an "M" indicates manual acceleration. December 2008 Page 5-15

143 Past Due Loans Processing PAST DUE LOANS REPORT 01 TO 59 DAYS PAST DUE RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 07/31/04 PAGE: 1 BORROWER NAME PROG# LOAN NUMBER PL-FR ACCR INT LOAN AMT CURR DUE L PMT AMT N PMT DTE A ACCL DTE LOAN REMARK ADDRESS SOC SEC # STAT AC-IT ACCR DTE LOAN BAL PAST DUE L PMT DTE L DEF END I REC HOLD 015/045/060/075 STOP CODES A.T. PRIM PHONE DAILY INT ACT DAYS CAP BAL DELQ CHG L ACT TYP AMT CANC CURR AGY 090/120/REHAB/#PMTS CB DATE IND A.S. SECD PHONE INT RATE NOT DAYS TOTAL BAL TOTAL DUE L ACT DTE L CAN END PREV AGY COHORT/DFLT FLAG PROM NT TYP DEMONSTRATION, CLINT I - M , /01/04 00/00/00 SEARCHLIGHT AVENUE /31/04 1, /21/04 00/00/00 NO 001/001/000/ CHESTERVILLE VA P 555/ ADJUST 0.00 NO 000/000/ / 000 BAD 000/ % 46 1, /16/04 00/00/00 NO NO/ PERKINS DEMONSTRATION, LENA D I - M , /01/04 00/00/ PERKINS RD /31/04 1, /17/04 01/01/03 NO 001/000/000/ DEERVILLE KS P 555/ CANCEL 3, NO 000/000/ / 000 GOOD 000/ % 30 1, /16/04 01/01/04 NO NO/ PERKINS DEMONSTRATION, MATTHEW K I - M , /01/04 00/00/00 PO BOX /31/ /01/04 00/00/00 NO 001/000/000/ COLUMBUS HI P 555/ PAYMENT 0.00 NO 000/000/ / 000 GOOD 000/ % /01/04 00/00/00 NO NO/ PERKINS I - M , /01/04 00/00/ /31/04 1, /01/04 00/00/00 NO 001/000/000/ / PAYMENT 0.00 NO 000/000/ / / % 30 1, /01/04 00/00/00 NO NO/ PERKINS DEMONSTRATION, RYDER G I - M , /01/04 00/00/ NE HANCOCK ST /31/04 1, /02/03 12/01/03 NO 001/000/000/ GREENLAND NC P 503/ ADJUST 0.00 NO 000/000/ / 000 GOOD 000/ % 30 1, /16/04 00/00/00 NO NO/ PERKINS BORROWERS LOANS LOAN AMOUNT TOTAL BAL CURR DUE PAST DUE DELQ CHG TOTAL DUE INTERNAL: , , EXCEPTION BILLING: 1 1 1, , IN COLLECTION: UNDUPLICATED BORROWER: 5 TOTAL: 6 16, , December 2008 Page 5-16

144 5.4 Borrowers to Receive a Notice Report (Optional Report) Service Overview Manual Past Due Loans Processing PURPOSE The Borrowers to Receive a Notice Report provides a list of names and associated data for loans requiring a due diligence notice. As an option, customers can request mailing labels in addition to the report by writing to Customer Support (P.O. Box 3176). INTENDED USE This report is used primarily by customers who choose to make their 60- and 90-day contacts or by customers who want to make additional contacts before and after those required by regulation. REPORT FREQUENCY SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA Standard: Weekly Options: Monthly, Quarterly, Semi-annually, or Annually (fiscal year) Until notices are sent to borrower. Program, Sub-lender, Lender, or System Selection for the report is based on notification days past due. Customers have the option of receiving up to eight report sections (based on eight different ages). Customers can specify the notice days in each of the eight sections, elect not to receive any section, or select some number of sections less than the maximum of eight. (The notice days referred to above would represent, for example, borrowers to receive a 60-day notice.) Certain loans will not appear on this report when notification days are frozen. If this restriction was not imposed, a loan would continue to appear on the report time after time. Notification days will be frozen if a loan is in any of the following statuses or if there is a value in stop codes for delinquency processing. Status 41 - special billing Status 52 - Hardship deferment Status 5x - Deferred (except Status 59) Status 6x - postponed Customers cannot select notice days greater than 999 or less than 10. When the notice days are established, the program will define a range of dates by subtracting 10 days from the notice days to define the lowest value in the range and subtracting four from the notice days to define the highest value in the range. December 2008 Page 5-17

145 Past Due Loans Processing Example: A customer wanting to make its 60-day contact would identify 60 as the notice days. The program will then select all loans with notification days between 50 and 56 days. This selection criteria will create a situation in which an institution might make unnecessary due diligence contacts. The alternative would be to provide this report after a loan has reached the selected level of days past due. This approach would not, however, allow an institution to remain in compliance with regulations. SORT SEQUENCES Standard: Notice Days/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Notice Days/Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha range on Name)/Notice Days/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric range on loan number)/notice Days/Loan Number/Sequence Number/Program Number TOTALS LABELS Totals are provided after each age grouping. A Portfolio Totals Page will be produced if more than one aging segment is requested. Customers can request mailing labels. The labels will display the borrower name, program, loan and sequence numbers, notification days past due and address. Program and loan numbers are optional. They can be requested per age group. MISCELLANEOUS If the report is sorted alphabetically (standard sort and optional sort NOTES: 2): 1. If a borrower has more than one loan and one of them falls within an aging range, all loans will be displayed (excluding those in 9x Closed status) with the past due loans. 2. If a borrower has two or more loans with different levels of delinquency, all loans will be displayed in each category. Example: A borrower has one loan that is 56 days past due and another loan that is 86 days past due. If the institution is receiving a day list and an day list, both loans will appear in both segments. However, only those loans that fall within the aging range will be included in the totals for that range. December 2008 Page 5-18

146 Past Due Loans Processing If labels are requested, these rules are followed: 1. A label will be printed each time one or more loans appear in each of the reports. 2. Customers can request labels for some age groups and not for others. This flexibility will better meet the needs of those institutions making phone calls. 3. If a borrower has two or more loans in one aging category and the customer wants a program and loan number printed on the label, only the program and loan number responsible for this borrower being on the report will be displayed. If the customer has selected to combine several programs on this report, the same notice days must be used on all programs. If the report is sorted numerically, all of a borrower's loans might not appear together even if they fall within the same aging range unless they are sequentially numbered. Loans will not be grouped together as they are with an alpha sort (as described in Miscellaneous Note #1). The Total Balance equal Current Principal Balance plus the Capitalized Balance. December 2008 Page 5-19

147 Past Due Loans Processing BORROWERS TO RECEIVE A NOTICE REPORT (50 TO 56 DAYS PAST DUE) RUN DATE 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 7/31/04 PAGE 1 BORROWER NAME PRIM PHONE PROG# LOAN NUMBER INT RATE LOAN AMT CURR DUE L PMT DTE LOAN REMARK ADDRESS A.T. A.S. ST DAILY INT TOTAL BAL PAST DUE L PMT AMT L ACT TYPE CREDIT BUREAU PL-FR ACT/NOTE TOTAL DUE DELQ CHG N PMT DTE L ACT DATE DATE IND BAKER, PATRICIA 000/ % /00/00 HAS TWO GRANTS 59 LUNA ST P GOOD ADJUST ARTS, AK I - Q 00051/ /31/98 10/24/97 COOKS, MARY 812/ % 2, /00/ PARK RD P GOOD , ADJUST CHICAGO IL I - M 00052/ /31/98 09/26/97 DARNDY, RENE 919/ % 1, /31/ W CINNA DR P GOOD PAYMENT COLA NC I - Q 00051/ /31/98 08/01/97 HOOD, JOSEPH 602/ % /31/ BEAR RUN P GOOD PAYMENT FLAGSTAFF AZ I - M 00051/ /31/98 08/18/ % 2, /31/ , PAYMENT I - M 00051/ /31/98 08/18/97 BORROWERS LOANS LOAN AMOUNT TOTAL BAL CURR DUE PAST DUE DELQ CHG TOTAL DUE TOTAL: 4 5 7, , December 2008 Page 5-20

148 Past Due Loans Processing 5.5 Loans Brought Current Report (Optional Report) PURPOSE INTENDED USE The Loans Brought Current Report shows the loans that were brought current during the reporting period. It enables the lender to release academic records that might have been withheld. Upon receiving this report, you should review it to note that loans show Yes in the Records Withheld column. The status in the After column must be checked to make sure that a subsequent transaction did not return the loan to a past due status prior to the end of the period. Academic records can be released then, and the Records Withheld flag removed. Customers who are not using the Collection Agency Interface service also can use this report to recall borrowers from the collection agency. REPORT FREQUENCY SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA Standard: Weekly Option: Monthly Until necessary actions have been taken (records released, etc). Program, Sublender, Lender or System Standard: All loans that were at least 60 days past due and brought current during the reporting period. Option: The customer can select the minimum number of days past due that a loan must be to appear on this report. The following transactions can bring a loan current. Only these transactions are used to select loans to appear on the report. 1. Payment 2. Cancellation 3. Deferment 4. Postponement 5. Customer Adjustment 6. Separation Date Change 7. Grace Months Change 8. Advance Adjustment 9. Capitalization December 2008 Page 5-21

149 10. Capitalization Adjustment 11. Rescheduling 12. Reprocessing Service Overview Manual Past Due Loans Processing More than one of the previously listed transactions might have been processed on the loan during the reporting period. If a loan has been selected to appear on the report, all of the following transactions that might have been processed on the loan during the reporting period will be printed so that the customer can see transactions that might have returned the loan to a past due status (payment reversals, etc.). 1. Payment 2. Payment Reversal 3. Cancellation 4. Cancellation Reversal 5. Deferment 6. Deferment Reversal 7. Postponement 8. Postponement Reversal 9. Customer Adjustment 10. Separation Date Change 11. Grace Months Change 12. Advance 13. Advance Adjustment 14. Interest Capitalized 15. Capitalization Adjustment 16. Reschedule 17. Credit Balance Refund 18. Reprocessing SORT SEQUENCES Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number/Post Date/Post Time Options: 1. Loan Number/Sequence Number/Program Number/Post Date/Post Time 2. Division of Labor (alpha based on name)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number/Post Date/Post Time 3. Division of Labor (numeric based on loan number)/loan Number/Sequence Number/Program Number/Post Date/Post Time December 2008 Page 5-22

150 Past Due Loans Processing MISCELLANEOUS A loan brought current during the reporting period might not be NOTES current as of the end of the reporting period. This might be due to aging or another transaction posting subsequently. Subsequent transactions will be shown on the report; however, aging cannot be shown. If the report is sorted alphabetically, the borrower name will print in the left margin, followed by the program and loan number. If the report is generated numerically, the program and loan number will print in the left margin, followed by the borrower name. Because capitalizing could bring an account current, capitalization is a valid activity type. December 2008 Page 5-23

151 Past Due Loans Processing LOANS BROUGHT CURRENT REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK 07/01/04 THROUGH 07/31/04 PAGE: 1 REC ******* PRIOR ******** *** AFTER **** PROG# LOAN NUMBER BORROWER NAME W/H ST DAYS / MOS AGENCY ACTIVITY POST DTE START DATE END DATE AMOUNT ST DAYS / MOS COLLINS, MARK NO / 2 DEFERMENT 07/30/04 05/15/04 03/14/ / 0 KNIGHT, KEVIN NO / 61 DEFERMENT 07/23/04 05/15/04 11/14/ / 0 NO 40 0 / 0 SPEC BILLING 07/23/ / 0 NO 40 0 / 0 SCHEDULE 07/23/ / PICKINS, MARGARET NO / 0 PAYMENT T 07/29/ / ROBINSON, JEANNE NO / 0 PAYMENT T 07/29/ / KENNEDY, JANET NO / 4 DEFER REV 07/23/04 05/06/04 11/05/ / 0 NO 40 0 / 4 DEFERMENT 07/23/ / ALEXANDER, CHARLY YES / 2 DEFERMENT 07/17/04 08/10/04 03/05/ / 0 YES 00 0 / 0 SCHEDULE 07/17/ / LIVINGSTON, MIRANDA NO / 0 PAYMENT 07/28/ / RUSH, RAYMOND B NO / 0 PAYMENT 07/28/ / 0 December 2008 Page 5-24

152 5.6 Loan Monitoring Report (Optional Report) Service Overview Manual Past Due Loans Processing PURPOSE INTENDED USE The Loan Monitoring Report is a report on which loans or borrowers might be placed for closer monitoring. Examples of loans to appear on this report might include borrowers with whom the lender has made a special payment arrangement, chronic delinquents, and borrowers withheld from a collection agency. Upon receiving this report, review it carefully because the loans have been intentionally selected and coded for close monitoring by the student loan collector. Payments and other activities are shown on the report. If the borrowers have not met their obligations, the collector should initiate contact by phone or in writing without delay. All necessary information for such contact is printed on the report. To place the Loan Monitoring Flag on a loan, send your request to Campus Partners on a Change/Adjustment Memo. Customers with DataLink security can place this flag on the loan. Loans in an 83 status (litigation) will automatically be placed on this report. REPORT FREQUENCY SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Standard: Monthly Options: Weekly, Quarterly, Semi-annually, Annually Until next report is received. Program, Sublender, Lender or System Any loan with a Y in the Loan Monitoring Flag field. If a borrower has two or more loans and the flag is set for only one loan, all loans (except those in 9x Status) will be displayed if an alpha sort is selected. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha range on name)/borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric range on loan number)/loan Number/Sequence Number/Program Number December 2008 Page 5-25

153 Past Due Loans Processing TOTALS A Portfolio Totals Page will not be produced if a Division of Labor sort is requested because totals information is provided on the Past Due Loans Report Portfolio Totals Page. Totals will include only those loans with a Y in the Loan Monitoring Flag Field. MISCELLANEOUS An asterisk (*) printed to the left of the program number will identify NOTES loans selected for monitoring. This will be useful when a borrower has several loans and they are not all coded for monitoring. The Interim Interest line shown on the sample report will print only on loans for which interest is accrued and billed during nonrepayment statuses. The Loan Amount includes the Capitalized Amount. The Loan Balance plus the Capitalized Balance equals the Total Balance. December 2008 Page 5-26

154 Past Due Loans Processing LOAN MONITORING REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 7/31/04 PAGE: 1 BORROWER NAME PROG# LOAN NUMBER PL-FR ACCR INT LOAN AMT CURR DUE L PMT AMT N PMT DTE A ACCL DTE LOAN REMARK ADDRESS SOC SEC # STAT AC-IT ACCR DTE LOAN BAL PAST DUE L PMT DTE L DEF END I REC HOLD 15/45/60/75/90/120 STOP CODES A.T. PRIM PHONE DAILY INT ACT DAYS CAP BAL DELQ CHG L ACT TYP AMT CANC CURR AGY COHORT CB DATE IND A.S. SECD PHONE INT RATE NOT DAYS TOTAL BAL TOTAL DUE L ACT DTE L CAN END PREV AGY DF REP FLG PROM NTE TYPE LEWIS, STEVE * I Q /12/98 A 00/00/00 LOAN IN LITIGATION 45 BETTER AVENUE R /31/ /15/81 06/01/93 NO 01/01/01/01/01/01 0-I-0-I-0-I BRONX NY P 212/ ADJUST 0.00 NO YES 11/86 S GOOD 000/ /18/93 00/00/ DIRECT LONG, SOPHIA * I Q , /12/98 00/00/00 LOAN IN LITIGATION PO BOX C /31/97 1, /24/92 06/01/93 NO 05/04/03/03/01/01 0-C-0-C-0-0 BROOKLYN NY P 718/ ADJUST YES 11/86 S GOOD 000/ , /31/94 00/00/00 NO DIRECT MCNEELEY, ROSA * I Q /12/98 A 00/00/00 LOAN IN LITIGATION RT 11 BOX R /31/ /00/00 00/00/00 NO 01/01/01/01/01/01 0-L-0-L-0-0 NEW YORK NY P 212/ ADJUST 0.00 NO YES GOOD 000/ /14/93 00/00/ DIRECT BORROWERS LOANS LOAN AMOUNT TOTAL BAL CURR DUE PAST DUE DELQ CHG TOTAL DUE TOTAL: 3 3 3, , , , December 2008 Page 5-27

155 5.7 IRS Skip Trace Report (Standard) Service Overview Manual Past Due Loans Processing PURPOSE INTENDED USE The IRS Skip Trace Report provides the customer with a list of borrowers who meet the IRS Skip Tracing Guidelines, so that skip tracing can be performed. The customer should send the report to the Department of Education processing center, along with the school's safeguard procedures to: IRS Skip Trace P.O. Box Greenville, TX REPORT FREQUENCY SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES TOTALS Standard: Monthly Options: None Retain a copy until processed by the IRS. None All loans that meet the following IRS Skip Trace Guidelines: 1. Must be Federal Perkins, HPSL, NSL loan type. 2. Has not been skip traced in the past 90 days. 3. Has a valid Social Security Number. 4. Notification Days Past Due is greater than All addresses for a borrower are coded bad. 6. The loan is not in a status 82 or 9x. Social Security Number None MISCELLANEOUS A borrower only will be listed once on a given report regardless of NOTES how many qualifying loans the borrower might have. The Safeguard Procedures must be sent and approved for a school to be eligible to participate. Thereafter schools must send an Activity Report annually by September 30 to report any change to the Safeguard Procedures. The Transmittal form must be submitted with each report. December 2008 Page 5-28

156 Past Due Loans Processing IRS SKIP TRACE REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK (EFFECTIVE DATE: 07/31/04) PAGE: 1 SCHOOL ID NUMBER: SOC SEC NUM LAST NAME WAYMON GRIFFIN TAPP HILL LIGHT NAPLE HARRISON LEMON FRANK LEWENDOWSKI HALL WALTERS ELMS HECKINGER SALMON WALSH TOTALS: 16 December 2008 Page 5-29

157 5.8 Rehabilitation Monitoring Report (Standard) Service Overview Manual Past Due Loans Processing PURPOSE The Rehabilitation Monitoring Report allows the customer to monitor borrower loans in all stages of the rehabilitation process. INTENDED USE This report provides a listing of borrowers currently in rehabilitation, loans that have been dropped, and loans that have been successfully rehabilitated by the borrower. REPORT FREQUENCY Standard: Monthly Options: Weekly SUGGESTED RETENTION Until the next report is received SELECTION SORT SEQUENCES This report includes any loan in a pending rehabilitation status, loans dropped from rehabilitation, and any loan that successfully completed rehabilitation. Standard: Alpha Options: 1. Numeric 2. Employee break/alpha sort 3. Employee break/numeric sort TOTALS MISCELLANEOUS NOTES None The report will be divided into three sections - Pending Status - Dropped Status - Rehabilitation Completed December 2008 Page 5-30

158 Past Due Loans Processing REHABILITATION MONITORING REPORT PENDING STATUS RUN DATE 12/31/00 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 12/31/00 PAGE 1 BORROWER NAME SSN PROG# LOAN/SEQ NUM LOAN AMT CURR DUE N PMT DTE REHAB FLG SB START AGENCY# ADDRESS PRIM PHONE LOAN BAL PAST DUE L PMT DTE DF RPMT FLG SB END ILL AMT ADDR TYP-STAT BILL TYPE FEES DUE TOTAL DUE INT ACCR PMT CNTR PL/FQ/AGR ACT/SBIL ST PL-FREQ CB IND/DT ANDERSON, MYRA , /01/01 P 09/01/ P O BOX / , , /15/00 Y3 10/01/ WINSTON-SALEM NC B G CPN , I M 01187/IF I M S 05/97 BATTEN, BARBARA , /01/01 P 09/01/ WAVERLY WAY 111/ , , /21/00 IE 08/01/ BALTIMORE MD B G STMT , I M Y 03227/IF I M S 04/93 CONAWAY, DEX A /01/01 P 10/01/ S AUDUBON #35C2 222/ /20/00 Y2 09/01/ INDIANAPOLIS IN B G STMT , I M Y 01491/IF I M S 11/94 DAVIDSON, JOHN , /01/01 P 09/01/ GREENDALE RD 333/ /29/00 Y2 08/01/ CEDRA CREEK TX B G STMT I M Y 03227/IF I M S 04/93 December 2008 Page 5-31

159 Past Due Loans Processing REHABILITATION MONITORING REPORT REHAB COMPLETED RUN DATE 12/31/00 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 12/31/00 PAGE 8 BORROWER NAME SSN PROG# LOAN/SEQ NUM LOAN AMT CURR DUE N PMT DTE REHAB FLG SB START AGENCY# ADDRESS PRIM PHONE LOAN BAL PAST DUE L PMT DTE DF RPMT FLG SB END ILL AMT ADDR TYP-STAT BILL TYPE FEES DUE TOTAL DUE INT ACCR PMT CNTR PL/FQ/AGR ACT/SBIL ST PL-FREQ CB IND/DT ANN, SUSIE , /01/98 S 00/00/ # N CENTER 000/ /10/00 00/00/ REXBURG ID P G STMT / I M E 10/00 BRADLEY, LUKE , /01/01 S 09/01/ N 59 TH ST 999/ , /22/00 IE 08/01/ SEATTLE WA B G STMT I M 00000/IF I M S 11/00 FAWCETT, COLBY /01/00 S 00/00/ ARROYO DRIVE 666/ /23/00 N3 00/00/ SAN DIEGO CA B G STMT / I Q R 11/00 December 2008 Page 5-32

160 Past Due Loans Processing REHABILITATION MONITORING REPORT DROPPED STATUS RUN DATE 12/31/00 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 12/31/00 PAGE 10 BORROWER NAME SSN PROG# LOAN/SEQ NUM LOAN AMT CURR DUE N PMT DTE REHAB FLG SB START AGENCY# ADDRESS PRIM PHONE LOAN BAL PAST DUE L PMT DTE DF RPMT FLG SB END BILL AMT ADDR TYP-STAT BILL TYPE FEES DUE TOTAL DUE INT ACCR PMT CNTR PL/FQ/AGR ACT/SBIL ST PL-FREQ CB IND/DT BENEFIELD, JEAN , /01/00 U 10/01/ NE 109TH ST 111/ /03/00 N3 09/01/ KIRKLAND, WA B G CPN I M Y 00000/ I M R 11/00 COLEMAN, MICHAEL , /01/01 U 09/01/ JACKSON AVE 111/ , , /15/00 Y3 01/01/ EVANSTON IL B G STMT , , I M Y 05054/IF I M S 04/93 December 2008 Page 5-33

161 Collection Agency Interface Section 6 Collection Agency Interface Table of Contents 6.0 Collection Agency Overview Collection Processing Input Forms Summary New Delinquents Report New Placements Report Agency Version New Placements Report Institution Version Collection Agency Inventory Agency Version Collection Agency Inventory Institution Version Transactions Against Loans in Collection Report TOC

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163 Collection Agency Interface 6.0 Collection Agency Interface The main features of this service are: Automatic Placement at any Number of Days Past Due, or Manual Placement All Loans for a Borrower Placed with the Same Agency (When Using Automatic Placement) Agency Success Flag Amount Placed in Collection 1. Enter manually 2. Select automatic options: a. Amount past due b. Amount past due and currently due c. Amount past due, currently due, and delinquent charges d. Total payoff amount (when loan is accelerated) Automatic Acceleration 1. At a certain number of days past due 2. By Collection Agency Reports available via expressreports at for Your Agency(ies) and for You 1. New Placements 2. Collection Agency Inventory 3. Transactions Against Loans in Collection Page 6-1

164 Collection Agency Interface SUMMARY: Campus Partners Collection Agency Interface is an automated reporting service for interactions between the school and the collection agency(ies). When you select this service, there are two options: 1. Automatic Placement - As loans become 120 days past due,* they are coded automatically for collection with the agency(ies) you have selected. These loans will appear on the weekly New Placements Report for each agency (with a copy to you). If you are using more than one agency, loans rotate placement in equal numbers among each of your agencies. You can withhold from collection loans from being placed automatically with an agency. To do this, notify the agency and Campus Partners of your decision. We will code those specified loans as withheld from collection until further notice from you. 2. Manual Placement - If you choose this option, as your loans become 120 days past due,* they automatically will be coded as eligible for collection. They will be reported as such in the appropriate section of the Past Due Loans Report (sent to you only). If and when you decide to place these loans with a collection agency, send us a list of the loans using the Collection Processing Transaction Transmittal. These loans will then be coded for release to the agency(ies) on the New Placements Report generated weekly for each agency (with a copy to you). * The number of days past due a loan must be before it goes into Collection (whether you are using Automatic Placement or Manual Placement) is an institutional option. For Federal/Perkins loans, 120 days is normally used, but you have the option to request a different number of days. For institutional loan programs, any number of days determined by the institution can be used. INVOICING OF LOANS IN COLLECTION: When a loan is coded with a collection agency number, invoicing is stopped automatically by placing a Stop Code C or F on the loan. Note: This is an institutional option. You may choose to have Campus Partners continue invoicing. This is usually done when a loan is placed with an in-house agency for collection. When a loan is removed from a collection agency, the Stop Code will automatically be removed and invoicing of the loan will resume. Page 6-2

165 Collection Agency Interface Note: This is an institutional option. You can choose to have loans remain with a collection agency even when the loan becomes current. With this option, the stop code remains on the loan. Important: If using the "accelerate when placed option" the " remove if current" option should be no. AMOUNT PLACED IN COLLECTION: The system automatically will calculate the amount placed in collection based on the option you selected. These options are: 1. Amount placed in collection will be the amount past due only. 2. Amount placed in collection will be the amount past due and the amount currently due. 3. Amount placed in collection will be the amount past due, the amount in currently due, and any delinquent charges which may be due. If the loan has been accelerated when it is placed with a collection agency, the amount placed is the payoff amount. If you selected Automatic Placement, the system will use your selection of one of the above options to calculate the amount placed in collection. This will be the amount reported to the collection agency on the New Placements Report. If you selected Manual Placement, you can specify the amount at the time the loans are to be placed in collection, or you may let System III use the institutional option and calculate the amount placed in collection. LOAN BALANCE ACCELERATION: Loans can be accelerated automatically: 1. Based on the number of days a loan must be past due before it is accelerated or 2. Based on collection agency number. You can manually accelerate a loan at any time by notifying us. For customers using the automatic acceleration option, the Final Demand Letter will notify the borrowers of this pending action. At the time the loan is accelerated, the borrower will be notified. A copy of this notification will be sent to the institution as an optional service. Page 6-3

166 Collection Agency Interface DECELERATION: COLLECTION AGENCY NUMBERS: System III never will automatically decelerate a loan. We must be notified in writing. System III accommodates a maximum of 45 first placement and 45 second placement collection agencies per institution. Each collection agency with whom we interface is assigned a five-digit identification number. This number will appear on each loan placed with a given agency and on the following reports: 1. Student Loan Journal; 2. Past Due Loans Report; 3. New Delinquents Report; 4. New Placements Report; 5. Collection Agency Inventory; 6. Exception & Special Billing Report; and 7. Loan Monitoring Report. Institutions that perform their collection activities or assign their loans to in-house collectors before placement with a collection agency can be assigned numbers in the range. Therefore, they can benefit from the same reporting as collection agencies. CHANGING AGENCIES: You can discontinue the automatic placement of past due loans with a given collection agency while leaving with that agency the loans already placed for further reporting. The collection agency will be coded to prevent further automatic placement of loans. However, you can manually place some loans with that agency by sending us the loans on the transmittal form. What to Do if You Discontinue Association with a Particular Agency If you totally discontinue working with a particular collection agency and want to transfer the loans to another agency, send us written notification of the new agency (using a new Authorization Form) as well as a transmittal listing the loans being transferred and the name of the new collection agency. If you have not submitted an Authorization Form for the new agency, you must do so when you send your transmittal. If you are a DataLink user, we will assign the agency a number and notify you. You can change the agency numbers on individual loans (through the on-line access as previously described) after we have assigned a new number to your agency. Page 6-4

167 Collection Agency Interface AGENCY CONTACT/ ADDRESS CHANGE: If the contact at the collection agency or the address changes, send the correction in writing to Campus Partners immediately. To expedite your request: 1. Include in your request the five digit collection agency number; and 2. Mail to Campus Partners Collection Dept., P.O. Box 2902, Winston-Salem, N.C ESTABLISHING CAI: If you are not currently using our Collection Agency Interface service, contact your Customer Service Representative to request information and a form for authorization to release activity reports to your collection agency(ies). This form is available on our Website at under Downloadable forms. In establishing the Collection Agency Interface, you must make several decisions: 1. How the loans will be placed with collection agency(ies) - automatic or manual placement. 2. Which collection agency(ies) you will use. You must designate that collection agency(ies) is used for first placement and which is used for second placement, if any. 3. The number of days past due a loan must be before it is placed with each agency. (If you do not indicate this, we will assume 120 days.) 4. Whether invoicing by Campus Partners should continue once a loan is placed in collection - Automatic Coding with a Stop Code C. (Our standard procedure is to discontinue sending bills.) 5. Whether, when the loan becomes current, it should remain with the agency or be removed automatically from collection and returned to billing. 6. How the amount placed in collection is to be calculated by the system. This is important because this is the amount reported to the collection agency(ies) as the amount to be collected. 7. Whether you want the loan balance to be automatically accelerated (i.e., how many days past due the loan must be to be accelerated or the agency with which loans are always accelerated). Page 6-5

168 Collection Agency Interface 8. Whether the borrower is to pay part or all of the collection fees, a percentage can be placed on loans based on the rate agreed upon with the collection agency not exceeding specified rates in the borrowers promissory note. The percentage on the loan will then dictate the amount of each incoming payment that applies to collection fees paid by the borrower. Page 6-6

169 Collection Agency Interface 6.1 Collection Processing Input Forms Collection Processing Transaction - Place/Transfer This form is used to list loans that you are placing in collection or loans that you are transferring from one agency to another. Collection Processing Transaction - Remove/Withhold This form is used to code loans as withheld from collection agency placement or remove loans from a collection agency. Collection Agency Payments Transmittal This transmittal is used to list payments received from your collection agency(ies). For each payment you can indicate: 1. Payment date and amount; 2. Collection cost paid by the school (charged to the fund); 3. Collection cost paid by the borrower; 4. Other cost paid by the school (charged to the fund); 5. Other cost paid by the borrower; and 6. The agency number. We also accept your collection agency's payment invoice/transmittal. However, you must indicate the amount of Borrower Paid Collection cost to be posted and the amounts included on the invoice must balance. We prefer that you have the agency send their transmittals for research purposes. Fees Transmittal ADD Collection, Other Costs, Late/Penalty This form allows you to enter manually some delinquent charges due on individual loans. These charges are: 1. Late/Penalty charges due; 2. Collection fees due; and 3. Other fees due. Note: All of the above forms are available via are Website at Page 6-7

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174 6.2 New Delinquents Report (Optional Report) Service Overview Manual Collection Agency Interface PURPOSE INTENDED USE REPORT FREQUENCY To provide you with a list of loans that became a specified number of days past due during the reporting period. The loan collector will use the report to place a loan with a collection agency or to perform other due diligence activities. Standard: Monthly Options: Weekly, Quarterly, Semi-Annually, Annually CONSOLIDATION LEVELS SUGGESTED RETENTION SELECTION CRITERIA System, Lender, Sublender or Program Until all intended activities have been performed. All loans for which New Delinquent Date falls within the reporting period. This field will have been updated when the loan reached the number of days past due specified by the customer. Standard: Only loans that still are delinquent as of the report date will be selected. Options: All loans for which New Delinquent Date falls within the reporting period, regardless of the current number of days past due, will be selected. SORT SEQUENCES Standard: New Delinquent Days Past Due/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Division of Labor (Alpha range on borrower name)/new Delinquent Days Past Due/Borrower Name/Borrower Number/Program Number/Loan Number/Sequence 2. Division of Labor (Numeric range on loan number)/new Delinquent Days Past Due/Loan Number/Sequence Number/Program Number 3. New Delinquent Days Past Due/Loan Number/Sequence Number/Program Number Page 6-12

175 Collection Agency Interface TOTALS Totals are provided as follows: 1. For Sort Sequences 1 and 4 a. A totals line will be provided at the end of each Days Past Due section. b. A Portfolio Totals Page will repeat the totals line for each Days Past Due section and compute a Grand Totals line for the entire report. c. For Sort Sequence 1, only loans that meet the criteria described in Selection Criteria will be included in totals. Loans printed only to give a complete picture of the borrower's loans will not be included in totals. (See Miscellaneous Notes) d. For Sort Sequence 1, an Unduplicated Number of Borrowers total will be provided on the Grand Totals page. If a borrower has loans falling in more than one Days Past Due section, he will be counted only once in this total. e. For Sort Sequence 4, Number of Borrowers totals will not be provided. 2. For Sort Sequences 2 and 3 a. A totals line will be provided at the end of each Days Past Due section for each employee. b. An Employee Totals section will repeat the totals line for each Days Past Due section and compute a Grand Totals line for all of the employee's loans. This totals section will not start on a new page. c. A Portfolio Totals Page will repeat the totals line for each Days Past Due section for each employee and compute a Grand Totals line for each Days Past Due for the report as a whole. It also will compute a Grand Totals line for the entire report. d. For Sort Sequence 2, only loans that meet the criteria described in Selection Criteria will be in totals. Loans printed only to give a complete picture of the borrower's loans will not be included in totals. (See Miscellaneous Notes). e. For Sort Sequence 2, an Unduplicated Number of Borrowers total will be provided for each employee. If a borrower has loans falling in more than one Days Past Due section, he will be counted only Page 6-13

176 Collection Agency Interface once in this total. In addition, an Unduplicated Number of Borrowers total for the report as a whole will be printed on the Grand Totals page. f. For Sort Sequence 3, Number of Borrower totals will not be provided. MISCELLANEOUS When the report is sorted alphabetically (sort sequences 1 and 2): NOTES 1. If one of a borrower's loans is selected, all of his or her loans (excluding those in 9x status) will be reported. 2. If a borrower has loans selected for more than one Days Past Due section, all of his loans will appear in all of those sections. This will give the customer a complete picture of the borrower's loans. If the report is sorted numerically, (sort sequences 3 and 4), his or her loans will not be grouped as described in Note 1. Only loans that meet the criteria described in Selection Criteria will be selected. If a borrower's loans fall sequentially, or are grouped together as stated in Miscellaneous Note 1, Name, Address, Primary Phone Number, Secondary Phone Number, Address Type, Address Status and Social Security Number will be printed once. A fifth line of information will appear in the report only on loans for which interest is accrued during nonrepayment statuses. If a loan appearing on the report has any amounts in Billed Interest Due, Billed Interest Past Due, or Nonrepayment Interest Accrued, this fifth line will be printed. If a loan program or report consolidation does not have any loans with interest accrual during non-repayment, the field headings for the fifth line will not be displayed. The Loan Amount includes the Capitalized Amount. Loan Balance plus Capitalized Balance equals the Total Balance. Page 6-14

177 Collection Agency Interface NEW DELINQUENTS REPORT RUN DATE: 07/31/04 CAMPUS PARTNERS-DEMO UNIV-PERK AS OF 7/31/04 DAYS PAST DUE: 80 PAGE: 1 *BORROWER NAME PROG# LOAN NUMBER PL-FR ACCR INT LOAN AMT CURR DUE L PMT AMT N PMT DTE ACCL DTE LOAN REMARK ADDRESS SOC SEC # STAT AC-IT ACCR DTE LOAN BAL PAST DUE L PMT DTE L DEF END REC HOLD A.T. PRIM PHONE DAILY INT ACT DAYS CAP BAL DELQ CHG L ACT TYP AMT CANC CURR AGY CB DATE-IND A.S. SECD PHONE INT RATE NOT DAYS TOTAL BAL TOTAL DUE L ACT DTE L CAN END PREV AGY COHORT DF RP FLG NEW DELQ - DATE MOODY, SUSAN I - Q /18/98 00/00/ THOMAS DRIVE /31/ /00/00 00/00/00 NO ELMIRA NY P 607/ N0NE 0.00 NO /00 GOOD 503/ % /00/00 00/00/00 NO NO NEW DELQ 01/05 SMOOTH, DAWN I - Q /18/98 00/00/ TH STREET R /31/ /17/97 12/12/92 NO BAINBRIDGE NY P 607/ PAYMENT 0.00 NO /05 S GOOD 000/ % /17/97 00/00/ NO NEW DELQ 01/01 WATTS, JOSEPH I - Q , /18/98 00/00/ TAKI AVENUE /31/ /14/97 00/00/00 NO SAYRE PA P 717/ PAYMENT 0.00 NO /00 GOOD 000/ % /14/97 00/00/00 NO NO NEW DELQ 01/27 YOST, SYLVIA I - M , /18/98 00/00/ WAY LANE /31/97 1, /07/97 12/03/92 NO MONROE CT P 401/ PAYMENT 0.00 NO /00 GOOD 000/ % 88 1, /07/97 00/00/00 NO NO NEW DELQ 01/23 * 80 DAYS PAST DUE TOTALS * BORROWERS LOANS LOAN AMOUNT TOTAL BAL CURR DUE PAST DUE DELQ CHG TOTAL DUE 4 4 5, , Page 6-15

178 Collection Agency Interface 6.3 New Placements Report - Agency Version (Standard Report with Collection Agency Interface) PURPOSE INTENDED USE REPORT FREQUENCY The agency version of the New Placements Report provides the collection agency or school collector with a listing of loans placed during the reporting period. The loans shown on the report either have been code automatically or manually for collection at the request of the lending institution. Upon receiving this report, the collection agency should create a record or file for each loan listed. The agency should then begin collection procedures in accordance with its contractual agreement with the lender. The report provides the collector with demographic, monetary and historical data. Standard: Weekly Options: None SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCE Until the agency has established its files. Program, Sublender, Lender or System (as specified by lender) This report will be produced for each collection agency. All loans placed (manually or automatically) with the agency during the reporting period will be printed. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: None TOTALS See sample report. MISCELLANEOUS The Interim Interest fields on the right side of the report will be NOTES displayed only for loans on which interest is accrued and billed during a non-repayment status. If a loan program or report consolidation does not have any loans with interest accrual and billing during non-repayment statuses, the field headings for Interim Interest will not be displayed. If a borrower's loans fall sequentially, the Borrower Name, Address, Primary Telephone Number, Secondary Telephone Number, Address Type, Address Status and Social Security Number will be printed once. Page 6-16

179 Collection Agency Interface The Loan Amount includes the Capitalized Amount. The Total Balance equals the Principal Balance plus the Capitalized Balance. Does not generate at month end. These will be identified on the Monthly Collection Agency Inventory. Page 6-17

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181 Collection Agency Interface 6.4 New Placements Report - Institution Version (Standard Report with Collection Agency Interface) PURPOSE INTENDED USE REPORT FREQUENCY The institutional version of the New Placements Report provides you with a listing of loans placed with a particular collection agency during the reporting period. A different version of this report with more detailed demographic and monetary information will be sent to the collection agency(ies). This report allows the customer to verify manual placements and/or identify the loans automatically coded for collection. Depending on the contractual agreement with the agency, this report can be used to gather additional file information to assist the agency in its collection efforts. Standard: Monthly Options: Weekly SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until placements have been verified. Program, Sublender, Lender or System This report will be produced for each collection agency. All loans coded Placed (manually or automatically) with the agency during the week or month (depending on the report frequency) will be printed. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha on borrower name)/borrower Name/Borrower Number/Program Number/Loan Number/ Sequence Number 3. Division of Labor (numeric on loan number)/loan Number/Sequence Number/Program Number TOTALS See sample report. If a Division of Labor sort is requested, a separate Portfolio Totals page will be produced, showing totals for all employees by collection agency number, totals for each collection agency, and totals for the entire portfolio. Page 6-19

182 Collection Agency Interface MISCELLANEOUS If a borrower's loans fall sequentially, the borrower name will be NOTES printed once. If a Division of Labor sort is requested, the employee number will be printed at the top of the report as shown on the sample. Totals at the bottom of the report are for that employee only. The Loan Amount includes the Capitalized Balance. The Total Balance is the sum of the loan's Principal Balance and Capitalized Balance. Page 6-20

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184 Collection Agency Interface 6.5 Collection Agency Inventory - Agency Version (Standard Report with Collection Agency Interface) PURPOSE INTENDED USE The agency version of the Collection Agency Inventory provides the collection agency with an inventory of loans placed in collection for a particular institution. This report will reflect updated loan information to include all monetary changes and most nonmonetary changes. This report provides the agency with a means of verifying that its records are complete. In addition, the agency should use this report to update its records with additional amounts that became due since the last report (provided that it is authorized to do so by the lending institution). If the words NEW PLACEMENT are printed in the right column of this report, the agency should create a record or file for the borrower and begin collection procedures in accordance with its contractual agreement with the lender. REPORT FREQUENCY Standard: Monthly Options: None SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until the agency has updated its files and/or next report is received. Program, Sublender, Lender or System (as specified by Lender) For each collection agency: All loans placed with the Collection Agency will be printed. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: None TOTALS Two lines of totals are provided, one for new placements and one for the total loans listed on the report. MISCELLANEOUS The Interim Interest line on the report will be displayed only for loans NOTES on which interest is accrued and billed during non-repayment statuses. If a loan program or report consolidation does not have any loans with interest accrual and billing during non-repayment statuses, the field headings for the fifth line will not be displayed. Page 6-22

185 Collection Agency Interface If a borrower's loans fall sequentially, the Borrower Name, Address, Primary Telephone Number, Address Status and Social Security Number will be printed once. The Loan Amount includes the current capitalized amount. The Total Balance is the sum of the Capitalized Balance plus the current Principal Balance. Page 6-23

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187 Collection Agency Interface 6.6 Collection Agency Inventory - Institution Version (Standard Report with Collection Agency Interface) PURPOSE INTENDED USE REPORT FREQUENCY The institutional version of the Collection Agency Inventory provides the customer with a listing and totals of all loans placed with each collection agency. This report also provides the institution with updated information on each loan placed with the agency. This report is intended to assist the customer in controlling its inventory of loans placed with each collection agency. It allows the student loan manager to review the agency's progress on each loan; this can be accomplished by comparing the Amount Collected field with the Amount Placed field. The Amount Collected and the Days Placed fields are not displayed on the agency version of this report. Standard: Quarterly Options: Monthly SUGGESTED RETENTION CONSOLIDATION LEVELS SELECTION CRITERIA SORT SEQUENCES Until the next report is received. Program, Sublender, Lender or System For each collection agency: All loans with the agency's number in the Collection Agency Account Number field will be printed. Standard: Borrower Name/Borrower Number/Program Number/Loan Number/Sequence Number Options: 1. Loan Number/Sequence Number/Program Number 2. Division of Labor (alpha or borrower name)/borrower Name/Borrower Number/Number/Program Number/Loan Number/Sequence Number 3. Division of Labor (numeric based on loan number)/loan Number/Sequence Number/Program Number TOTALS Two lines of totals are provided, one for new placements and one for the total loans listed on the report. A Portfolio Totals Page will be produced if a Division of Labor sort is selected. Totals will include new placements only; totals information on all loans on the report is provided on the Past Due Loans Report Portfolio Totals Page. Page 6-25

188 Collection Agency Interface MISCELLANEOUS The Interim Interest line on the report will appear only for those NOTES loans for which interest is accrued and billed during a non-repayment status. If a loan appearing on the report has any amounts in Billed Interest Due or Billed Interest Past Due, these fields will be printed. If a loan program or report consolidation does not have any loans with interest accrual and billing during non-repayment statuses, those field headings will not be printed. If a Division of Labor sort is requested, the employee number will be printed at the top right of the report as shown on the sample. Totals at the bottom are for that employee only. If a borrower's loans fall sequentially, the Borrower Name, Address, Primary Telephone Number, Secondary Telephone Number, Address Type, Address Status and Social Security Number will be printed only once. The Loan Amount includes the Capitalized Amount. The Total Balance is the sum of the loan's Principal Balance and Capitalized Balance. Page 6-26

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