Bulletin ID
DLB - 99 - 49
| PublicationDate: 7/1/99 BulletinID: DLB - 99 - 49 July 1999 DLB 99-49 Subject: Additional Information about Adjusting Existing Direct Loans using EDExpress Dear Partner: This is a follow up to Direct Loan Bulletin 99-39 that discussed the implementation of the reduced origination fee. In the bulletin we stated: Note: EDExpress, version 5.2 (the current version) wont allow you to change the origination fee after the loan is originated. EDExpress, version 5.3 available in mid-July, will allow you to change the origination fee for inactive loans on a loan by loan basis. Because we didnt state clearly that you had to use EDExpress version 5.3 to reactivate the loans, many of you reactivated loans in 5.2 thinking you were changing the fee percentage. We apologize for giving you incomplete guidance and for the burden this places on your school. We were trying to get information to you as quickly as possible and werent clear on this important point. The information below will assist you in correcting the loan fees for the loans that were changed in 5.2. Note: This doesnt apply to new loans you originated at the three percent fee in EDExpress 5.2 (loans that never existed at the four percent fee). When you upgrade to EDExpress 5.3, you MUST go to Setup and correct the fee percentages for PLUS and Subsidized/Unsubsidized loans. The fee percentage field, which was previously behind the scene, is now visible in EDExpress version 5.3 and can be changed for inactive loans on a loan by loan basis. (See below.) If you tried to use EDExpress 5.2 to change the origination fees for loans first originated at 4%, you MUST change the new Fee Percentage field in the Loan Tab (see below) from 4% to 3%. If you dont, your actual disbursement records will be rejected by the Loan Origination Center due to inaccurate loan fees. This field cant be updated while the loan is active (loan amount requested, loan amount approved and all anticipated disbursements are not at $0). Please refer to DLB-99-48 for further information on setting up EDExpress version 5.3 and correcting fee percentages for existing loans. If you would like special assistance, please call CPS Customer Service at 800/330-5947, option 3. Again, we apologize for giving you incomplete guidance and thank you for your continued partnership in the Direct Loan Program. Sincerely, Margaret E. White Chair Direct Loan Task Force |