Washington Report

USA Funds Supports Student Loan Community Proposal
USA Funds^® has joined a coalition of student loan guarantors, lenders, secondary markets and servicers that has unveiled a student loan program proposal that builds on the student loan reforms the Obama administration has asked the U.S. Congress to enact. The student loan community’s proposal also would ensure reliable financing, preserve choice of service provider, and expand default prevention and borrower support services. Read the announcement, a fact sheet with additional details and the draft legislative language to implement the proposal.

Operations Bulletin

Institutions Must Review Veterans Education Benefits Awarded, as Bill Becomes Law
The U.S. Department of Education announced that institutions now must review 2009-2010 award year financial aid packages for students receiving federal veterans education benefits, to determine whether changes to any of the packages are necessary. The announcement follows President Obama’s July 1 signing into law of legislation that makes technical corrections to the Higher Education Act. Among the new law’s provisions are those updating the definition of veterans benefits and moving up to July 1, 2009, the exclusion of those benefits from the calculation of a student’s estimated financial assistance.

Interim IBR Alternative Documentation of Income Form Available
A National Council of Higher Education Loan Programs workgroup has released an interim Income-Based Repayment Plan Alternative Documentation of Income form. The form is not a final, official Department of Education-approved form but rather an optional form provided to assist lenders and servicers until that final form is available. Learn more.

Department Offers Detailed Variable Interest Rate Tables
The Department of Education has issued detailed charts that show variable interest rates for the Federal Stafford, Federal SLS, Federal PLUS and Federal Consolidation loan programs for July 1, 2009-June 30, 2010. You will need Adobe Reader to access the announcement from the USA Funds Web site.

Tech Talk

Meteor Network Helps Aid Administrators, Borrowers Track Split-Serviced Loans
The Meteor Network is helping financial aid administrators and student loan borrowers track the growing number of split-serviced loans. Read more.

USA Funds Update

USA Funds Supports U.S. Dream Academy Learning Centers
A recent USA Funds-sponsored event raised more than $600,000 to help the U.S. Dream Academy support children of prisoners and those falling behind in school. Read more.