USA Funds Update

USA Funds Posts Another Record-Low Student-Loan-Default Rate
USA Funds^® has achieved another record-low student-loan default rate. Read the announcement.

$250,000 From USA Funds to Aid Displaced Students and Those From Hurricane-Affected Region
USA Funds has announced that it has allocated $250,000 of a previously announced $1-million financial commitment to help low-income college students displaced by Hurricane Katrina as well as those whose permanent residences are in federally designated disaster areas. Read the announcement.

Alternate Toll-Free Number Available to Customers in Hurricane-Affected Areas
USA Funds’ school and lender customers located in areas affected by Hurricane Katrina now have an alternate toll-free number available to them to contact USA Funds’ guarantor-service contractor for customer assistance. School and lender representatives, as well as borrowers in hurricane-affected areas can call (877) 725-5430 if they are unable to get through on the existing toll free numbers. School- and lender-customers first should attempt to get through on the primary toll-free numbers of (866) 497-8723 or (800) 824-7044. USA Funds customers should encourage borrowers to use (888) 272-5543, directing them to the alternate toll-free number only if they are unable to connect to customer service on the primary line.

USA Funds Staff Profile: Helping Education Lenders Attain Their Goals
Elaine Yednak, lender-operations manager at USA Funds, ensures that the USA Funds guarantee process works smoothly for lender-customers. Read more.

USA Funds Supports Jobs for Arizona's Graduates
USA Funds has provided a fourth consecutive year of funding for Jobs for Arizona’s Graduates, a program that helps at-risk young people stay in school and graduate with the skills necessary to succeed in the workplace. Learn more.

Operations Bulletin

Department of Health and Human Services Offers Disaster-Relief Guidance for HEAL Loans
The U.S. Department of Health and Human Services has published guidance regarding borrowers affected by the recent hurricane for loan holders servicing HEAL loans. USA Funds encourages its lender customers that service HEAL loans to review the HHS guidelines for granting forbearances to HEAL borrowers affected by Hurricane Katrina.

Reservists Educational Benefits Expanded as Part of Estimated Financial Assistance
Financial-aid administrators must begin including Chapter 1607 reservist benefits as estimated financial assistance for the 2005-2006 award year. Learn more.

U.S. Department of Education Approves Loan-Forgiveness, Loan-Discharge Forms
The U.S. Department of Education has released two Dear Colleague letters that announce approval of loan-forgiveness and loan-discharge forms. Read more.

Washington Report

Proposals Offer Some Relief to Hurricane-Ravaged Postsecondary Institutions
The U.S. Department of Education has proposed measures, and legislation has been introduced in the U.S. Senate, to provide relief to students and postsecondary institutions affected by Hurricane Katrina. Read more.

Debt-Management Perspectives

Garden City Community College Puts USA Funds Debt-Management Products, Services to Good Use
Garden City Community College’s use of USA Funds Life Skills^®, Debt Management System and USA Funds Debt Manager has helped the school reduce its cohort-default rate. Learn more about these successes.