Publication Date: February 2003
Bulletin ID: DLB-03-10
Summary: Negative Balances for Program Years 1997/98 through 2001/02
Posted on 02-28-2003
Febrary 2003
DLB-03-10
Subject: Negative Balances for Program Years 1997/98 through 2001/02
Dear Partner:
We are in the process of archiving program years 1997/98, 1998/99, 1999/00, 2000/01 and 2001/02. As a result, this is the FINAL REQUEST for schools to resolve their negative ending cash balance recorded at the Loan Origination Center (LOC). A negative cash balance could result for one of the following reasons:
- Your institution/school has drawdowns missing or reflected in another program year at the LOC.
- Your institution/school didn't send adjustments and/or cancellations to loans and/or disbursements.
- Your institution/school didn't draw down enough funds.
Please forward your request for loan adjustments/cancellations or reallocation of drawdowns to the LOC by March 31, 2003. Once the LOC receives your request, they will review it and notify you of the final action. If your institution is requesting a drawdown for a negative ending cash balance, please send your request by email to Sharon.Smith@ed.gov with a copy to Isiah.Dupree@ed.gov. PLEASE DO NOT ATTEMPT TO DRAW DOWN THE FUNDS.
If we do not receive a response from your school by March 31, 2003, we will assume your school has checked its records, ensured that all documentation has been accurately reported, and confirmed that a drawdown is not due. The Department will then zero out negative balances.
Thank you for your ongoing partnership in the Direct Loan Program.
Sincerely,
Jane Holman
Acting Director, Title IV Delivery
Schools Channel