It’s Really It’s Really Not a PuzzleNot a Puzzle

Financial Financial AidAid

ParentParentss

Loan OriginationLoan Origination

Tracy Ireland, Senior Manager Tracy Ireland, Senior Manager OriginationsOriginationsDaniel Trammell, School Client Relations Daniel Trammell, School Client Relations SpecialistSpecialist

2004 GSFC Annual 2004 GSFC Annual

ConferenceConferenceMarch 3 & 4, 2004March 3 & 4, 2004

GSFC GSFC AdvantagesAdvantages

Benefits from using GSFC as your Benefits from using GSFC as your

source for loan processingsource for loan processing Advantages of a Bundled Agency - One Advantages of a Bundled Agency - One

source for all state aid source for all state aid In-House lender and guarantorIn-House lender and guarantor Resources remain in GeorgiaResources remain in Georgia Focus on customer serviceFocus on customer service Georgia centered programsGeorgia centered programs

StudentsStudents

GSFC Services OverviewGSFC Services Overview

GSFC

Scholarships: 4

Grants: 6

Stafford Loans: 2

Plus Loans: 1

Alternative Loan: 1

Federal Service Loans: 6

State Service Loans: 11

Consolidation Loans: 1

Self-Guarantee

GeorgiaAdvantage Plus

Borrower Benefits

TOTAL SERVICES: 32

StudentsStudents

GSFC Processing OverviewGSFC Processing Overview

Loan Processing OptionsLoan Processing Options

Electronic Loan Processing ServicesElectronic Loan Processing Services

Other ServicesOther Services

Service Cancelable OptionsService Cancelable Options

Coming SoonComing Soon

Loan ServicingLoan Servicing

CollegeCollegess

Loan Processing OptionsLoan Processing Options

In response to requests from our school In response to requests from our school and lender partners, GSFC now offers and lender partners, GSFC now offers the following loan processing options:the following loan processing options:

SSPSSP

SSP+SSP+

Lender Flow – Guarantee OnlyLender Flow – Guarantee Only

Blanket Certificate of GuaranteeBlanket Certificate of Guarantee

CollegeCollegess

SSPSSP

Started in 1995Started in 1995 Consensus model between:Consensus model between:

– Schools, GSFC, lendersSchools, GSFC, lenders $2 billion originated since 1995$2 billion originated since 1995 15 participating lenders15 participating lenders 60+ participating schools60+ participating schools

Financial Financial AidAid

SSPSSP

Single Source PartnersSingle Source Partners One source for:One source for:

• File transfers & responses File transfers & responses • E-sign process or note printing, collection E-sign process or note printing, collection

& validation& validation• Customer service – personal service from Customer service – personal service from

designated school relations specialistdesignated school relations specialist• Disbursement and refunds – multiple Disbursement and refunds – multiple

optionsoptions

CollegCollegee

SSP+SSP+

Same features as SSPSame features as SSP

Allows school to receive single Allows school to receive single disbursement and disbursement roster disbursement and disbursement roster through NDN (national disbursement through NDN (national disbursement network)network)

StudentsStudents

Electronic Loan Electronic Loan Processing ServicesProcessing Services

ScholarNetScholarNet

FASTLoansFASTLoans

Auto Debit/Auto Credit Refund OptionsAuto Debit/Auto Credit Refund Options

PLUS Pre-Credit ApprovalPLUS Pre-Credit Approval

Financial Financial AidAid

ScholarNetScholarNet

Web-Based Tool to transmit loan Web-Based Tool to transmit loan certifications, guarantees and changescertifications, guarantees and changes

Used by more than 800 schools Used by more than 800 schools nationwide, more than 60 in Georgianationwide, more than 60 in Georgia

Open system, communicates using Open system, communicates using industry standard CommonLine to any CL industry standard CommonLine to any CL compliant service providercompliant service provider

Interfaces with most financial aid Interfaces with most financial aid management systemsmanagement systems

StudentsStudents

ScholarNetScholarNet

Real-time ASAP application processing Real-time ASAP application processing and change transactionsand change transactions

Interfaces with GSFC’s FASTLoans Interfaces with GSFC’s FASTLoans productproduct

Customized reporting featuresCustomized reporting features

Used for both FFELP and alternative Used for both FFELP and alternative LoansLoans

StudentsStudents

FASTLoansFASTLoans

E-sign MPNE-sign MPN

MPN’s Load in real time to GSFC SystemMPN’s Load in real time to GSFC System

MPN’s match to certifications in real timeMPN’s match to certifications in real time

Access through the school’s websiteAccess through the school’s website

Options for placing FASTLoans in the school’s Options for placing FASTLoans in the school’s processprocess

Flexibility in notifying the school when Flexibility in notifying the school when student completes FASTLoans processstudent completes FASTLoans process

CollegCollegee

Other ServicesOther Services

ELM Resources memberELM Resources member– Single point of data exchangeSingle point of data exchange– Not single point of contactNot single point of contact– GSFC hosting ELM client meeting April 20GSFC hosting ELM client meeting April 20

Technical assistance for FAMS setupTechnical assistance for FAMS setup Customized reportingCustomized reporting Reconciliation assistanceReconciliation assistance 24/7 IVR for all customers24/7 IVR for all customers

Financial Financial AidAid

Refund OptionsRefund Options

Change transactionsChange transactions

Auto debitAuto debit

Auto creditAuto credit

Paper checksPaper checks

CollegCollegee

PLUS Pre-Credit ApprovalPLUS Pre-Credit Approval

Electronic CommonLine app send initiatedElectronic CommonLine app send initiated

GSFC websiteGSFC website

Lender/Servicer optionsLender/Servicer options

Fax requestsFax requests

ParentParentss

FFELP Service Cancelable FFELP Service Cancelable ProcessingProcessing

Same options as the Stafford LoansSame options as the Stafford Loans• SSP ServicesSSP Services• ScholarNet, ELM or any CommonLine ScholarNet, ELM or any CommonLine

compliant productcompliant product

DifferencesDifferences• School set allocation requires that the School set allocation requires that the

loans do not automatically serializeloans do not automatically serialize• Not included in the FASTLoans processNot included in the FASTLoans process

Coming SoonComing Soon

FASTPLUSFASTPLUS– E-sign PLUS note processingE-sign PLUS note processing– Works like FASTLoans-real timeWorks like FASTLoans-real time

PLUS pre-approval improvementsPLUS pre-approval improvements– Real time credit approvalReal time credit approval– Automated credit processing (applications)Automated credit processing (applications)

Automated FFEL service loan processingAutomated FFEL service loan processing Application standardization initiativesApplication standardization initiatives Expanded use of web for state service loansExpanded use of web for state service loans Image workflowImage workflow

GSFC Loan ServicingGSFC Loan Servicing

Life of the loan servicing in GeorgiaLife of the loan servicing in Georgia

Provides borrower statements on websiteProvides borrower statements on website

Use technology to enhance collection Use technology to enhance collection effortsefforts

Experienced loan counselorsExperienced loan counselors

Offers automatic payment optionsOffers automatic payment options

Work closely with GSFC’s default Work closely with GSFC’s default prevention task forceprevention task force

What to Consider when What to Consider when Choosing SSP?Choosing SSP?

GUARANTEEPROMISSORY

NOTE

LOANORIGINATION

LOANDISBURSEMENT

LOANREFUND

RECONCILIATIONAPPLICATIONPROCESSSTEPS

GSFC

OTHERFFELP

LENDERS

DIRECT

Student

Student

Student

GSFC GSFC GSFC GSFC GSFC

IndividualLender

IndividualLender

IndividualLender

IndividualLender

USDE USDE

OutsideGuarantor

FinancialAid Office& Student

BusinessOffice

& USDE

FinancialAid Office& USDE

Questions

Financial Financial AidAid

CollegCollegee

StudentsStudents

ParentsParents