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Summary: FY 2006 Draft Cohort Default Rates Distributed February 11, 2008

Publication Date: February 11, 2008

Author: Susan Szabo, Chief Business Operations Officer, Federal Student Aid

Summary: FY 2006 Draft Cohort Default Rates Distributed February 11, 2008

Posted on 02-11-2008

On the morning of Monday, February 11, 2008, the Department distributed the FY 2006 Draft Cohort Default Rate notification packages. For eligible domestic schools enrolled in the Electronic Cohort Default Rate (eCDR) process, delivery was made to the Student Aid Internet Gateway (SAIG) destination point designated by the school. Each eCDR package contained (1) a cover letter (message class SHDRLROP), (2) a reader-friendly loan record detail report (message class SHCDRROP), and (3) an extract-type loan record detail report (message class SHCDREOP).

Domestic schools not enrolled in eCDR will not receive notification packages from the Department but may download their cohort default rates and accompanying Loan Record Detail Reports at

Eligible foreign schools were mailed a notification package. Foreign schools that have one or more borrowers in repayment are provided data files as an encrypted Portable Document Format (PDF) file on a CD-ROM. A letter with the password needed to access the data on the CD-ROM is provided in a separate package. If you do not already have a PDF viewer, the Adobe Reader can be downloaded from the Adobe website at http://www.adobe.come/products/acrobat/readstep2.html. Please note that if a technical problem caused by the Department results in an inability to access the data, schools have five business days from the receipt of the notification letter or password letter (whichever is the latest), to notify Default Prevention and Management at the e-mail address given below.

Time periods for challenging the FY 2006 Draft Cohort Default Rates under 34 C.F.R Part 668, Subpart M begins on Wednesday, February 20, 2008 for domestic schools. For foreign schools that were mailed a hard copy notification letter, CD-ROM, and subsequent password letter, the time period begins on the receipt date of the notification letter or password letter (whichever is the latest). If the Department caused a technical problem, resulting in an inability to access the data, we will extend the challenge deadlines to account for the re-transmission of the information after the technical problem is resolved.

Please be aware that new for this 2006 draft cohort default rate process, is the availability of doing Incorrect Data Challenges (IDCs) electronically. Completing this electronic application will allow data managers and to view and respond to IDCs. The application will also track the entire life cycle of each challenge/adjustment request from the time the case is submitted until the time a decision is made and case is closed. Therefore, while the paper process is still allowed for this cycle, the electronic process will eventually replace the paper process include all challenges/adjustments and appeals for all Title IV schools, foreign and domestic. We encourage all schools to apply for and use this process as soon as possible. Data managers must also register for eCDR appeals. To see more information regarding the electronic application, go to

For additional information regarding the school cohort default rate calculation or the challenge processes, please refer to the revised Cohort Default Rate Guide or the new CDR Guide Quick Reference at Default Prevention and Management's main office can also be reached via e-mail at or via phone at (202) 377-4259.

Last Modified: 02/10/2008