| DCLPublicationDate: 4/1/95 DCLID: CB-95-5 AwardYear: Summary: This letter establishes the deadlines for schools to begin submitting data to the National Student Loan Data System (NSLDS) and for schools who have not already done so to submit the NSLDS Data Provider Setup Form and, if applicable, Servicer Delegation Letter. APRIL 1995 CB-95-5 (LD) Summary: This letter establishes the deadlines for schools to begin submitting data to the National Student Loan Data System (NSLDS) and for schools who have not already done so to submit the NSLDS Data Provider Setup Form and, if applicable, Servicer Delegation Letter. Dear President: The National Student Loan Data System (NSLDS) is the first national database of loan-level data on aid disbursed under the Title IV aid programs. The system, which is now operational, contains data on Federal Family Education Loan Program (FFELP) loans, Federal Direct Loan Program (FDLP) loans, Perkins Loans, Federal Pell Grants, and Federal Supplemental Education Opportunity Grants (FSEOG). NSLDS is already being used to prescreen new applications for Title IV aid for eligibility and to calculate FFELP default rates. By late 1995, NSLDS will also (a) replace the existing Student Status Confirmation Reporting (SSCR) process for both the FFELP and FDLP, (b) replace manual Financial Aid Transcripts, and (c) provide Pre-claims Assistance/Supplemental Pre-claims Assistance notification to schools in the FFELP. All schools in the Title IV aid programs are required to participate with NSLDS. Schools with active Perkins Loans (including National Direct Student Loans, National Defense Student Loans, and Income Contingent Loans) are required to begin reporting loan-level data on these loans no later than August 31, 1995. After your initial submission of data is complete, you are required to provide updated data to NSLDS once a month on a schedule that will be established between your school or servicer and the Department. Detailed specifications for this reporting requirement were presented in Dear Colleague letter CB-94-020, which was mailed to the chief business officer and financial aid director of every affected school in September 1994. We recognize that campuses are faced with a multitude of requirements at this time. However, for NSLDS to successfully implement the functions noted above--and others that continue to be identified--schools must begin reporting Perkins Loan data by the end of August 1995. By enabling NSLDS to fully implement functions such as a standardized SSCR and by eliminating the manual Financial Aid Transcript, we believe thousands of hours can be saved at campuses across the country. Additionally, NSLDS provides an invaluable tool for default prevention and reduction. Through Dear Colleague CB-94-020, your campus was requested to submit a data provider set-up form that identifies a point of contact at your school and provides basic information regarding the data you are required to submit. To date, your school has not submitted that form. All forms must be submitted to the Department no later than April 28, 1995. In addition, if you plan for a servicer or other third party to submit your Perkins Loan data to NSLDS on your behalf, a letter designating this organization must be sent to the Department by the same date. A sample letter is included in Dear Colleague CB-94-020. If you have any questions, please call the NSLDS Customer Service Center at 1-800-999-8219 or call Susan Pentecost (Director, NSLDS Division) at 202-708-8125. Sincerely, Leo Kornfeld Senior Advisor to the Secretary |