Bulletin ID
DLB - 98 - 33
| PublicationDate: 8/1/98 BulletinID: DLB - 98 - 33 August 1998 DLB 98-33 Subject: Final 732-LOS Dear Colleague: The final 732-LOS (DIS497OP and DIS597OP) for the 1995-96 and 1996-97 Direct Loan program years will be produced by the Loan Origination Center (LOC) on August 30, 1998. The LOC will complete its processing of 1995-96 and 1996-97 loan data on August 29, 1998. You should ensure that any information or documentation needed by the LOC to resolve your outstanding issues is received by the LOC by 8:00PM EST on Friday, August 21, 1998. This will provide the LOC with sufficient time to process the data by August 29, 1998. Please be aware that the LOC will not accept any information or documentation on issues that were not identified to the LOC by the July 31, 1998, submission deadline date. The August 30, 1998, 732-LOS will represent the final ending cash balance for your school as reported by the LOC. There will be no changes to the LOC system after August 29, 1998. As stated in Direct Loan Bulletins 98-14 and 98-27, once the final LOC ending cash balances have been established, the Departments Accounting and Financial Management Service (AFMS) will begin analyzing all ending cash balances to determine why a balance still exists. During September 1998, if your school has not already received a close out letter from AFMS, you will receive either a letter advising that your school has successfully closed out Direct Loan program years 1995-96 and 1996-96 or a letter advising that AFMS will begin analyzing your schools ending balance. Once AFMS begins the analysis process, you may be contacted by AFMS to provide documentation regarding transactions that still need to be submitted or other information that may result in an adjustment to your ending cash balance. This may include information submitted to the LOC for manual processing that was not completed by August 29, 1998. If you have already sent copies of this information to AFMS, you do not need to resend it unless requested. If AFMS determines that loan data should have been processed by the LOC, AFMS will submit the school's data to the Direct Loan Servicing Center. These transactions will be reflected in the AFMS official ending cash balance for your school. As stated in DLB 98-27, "Both the LOC and AFMS will work closely with schools to ensure that all information submitted by the [July 31,1998] deadline has been processed and accounted for in the schools ending cash balance... Schools will not be responsible for any ending cash balance due to LOC systems problems or processing delays." While the LOC will not be able to process 1995-96 and 1996-97 loan data after August 29, 1998, AFMS will ensure that those loan records that should have been processed by the LOC will be processed by AFMS. If you have any questions concerning the above process or questions about your schools ending cash balance, you may contact AFMS at 202/205-6466. Thank you for your continued support of the Direct Loan Program. Sincerely, Linda L. Paulsen, Director Joe L. McCormick, Chair Accounting and Financial Direct Loan Task Force Management Service |