Washington Report

President Signs Emergency Student Loan Legislation
President Bush has signed into law emergency legislation to promote the availability of federal student loans and decrease reliance on more expensive private loans. The Ensuring Continued Access to Student Loans Act of 2008 seeks to ease the student loan credit crunch by permitting the U.S. secretary of education to purchase loans from lenders and by ensuring the availability of lenders of last resort. The measure also increases certain Stafford loan limits, provides a grace period on parent PLUS loans, and eases credit qualifications for PLUS borrowers.

Congress Approves Extension of Higher Education Act
The U.S. Congress has approved another extension of the Higher Education Act, the 11th since the last reauthorization. Members of Congress promised it would be the final extension, as U.S. House and U.S. Senate conferees work to finalize a compromise reauthorization bill. They have until May 31 to complete their work under the latest extension. Although the authority for federal student aid programs technically lapsed when the previous extension expired April 30, there has been no adverse impact on aid programs.

Operations Bulletin

Education Department Issues Updated Guidance on Preferred Lender Lists
The U.S. Department of Education has issued updated guidance on regulations governing preferred lender lists, in light of changes in the education lending marketplace. The new guidance also clarifies the minimum number of unaffiliated lenders a school must have on its lender list. Download a copy of the Department’s Dear College Letter GEN-08-06 from the USA Funds^® Web site, using Adobe Reader.

USA Funds Policy Advisers Summarize Emergency Student Loan Legislation
USA Funds policy advisers have developed a table that summarizes key provisions of the Ensuring Continued Access to Student Loans Act of 2008. The table and other resources are located in the USA Funds Web site Reauthorization section for financial aid professionals and education lenders.

USA Funds Policy Team Addresses Recent Aggregate Loan Limit Increase
A recent Dear Colleague Letter from the Department of Education announced an increase in the aggregate Stafford loan limit for graduate and professional students enrolled in certain approved health profession programs. USA Funds’ policy advisers outline key points regarding this new aggregate limit. Read more.

USA Funds Update

Enhance Your Skills With USA Funds’ Leadership Webcast Series
In June USA Funds will offer, at no cost, a new leadership webcast series designed for managers, supervisors or individuals who aspire to management positions. Read more.

Tech Talk

Tech Talk Tip: Resetting Passwords for USA Funds Electronic Products
USA Funds provides a standard password reset process that applies to many of its electronic products and services. School-users can follow the process to reset passwords in several products supported by USA Funds. Learn more.