Helping you Help Students Avoid Default: Debt Management Tools for Schools and Students

1. Helping you Help Students Avoid Default:Debt Management Tools for Schools and Students Russell Judd Great Lakes Higher Education Corp. Doug Falk National Student Clearinghouse Annual Conference 2008

2. Meteor Meteor is a valuable tool that provides Financial Aid Professionals and borrowers secure access to real-time financial aid information. Information from multiple data providers is aggregated to assist the FAP and the borrower with the financial aid process, repayment and default aversion. Meteor is a neutral, collaborative effort of the FFELP community.

3. Benefits to Students Accurate, real-time information  Receive loan information and, in many cases, exit counseling in a single web visit Some implementations allow a student to do “what-if” analysis with counseling calculators More likely to remember loan status, holder, etc.

4. Legislative Changes • Legislative changes may make it difficult for students and schools to keep track of their debt • Schools and students will need to work with more providers • Meteor can help! • Single, impartial point of access to multiple loan providers

5. Agenda • Meteor Overview & Functionality Review • Software Customization • Mapping Your Future • NYHESC • Others • The National Student Clearinghouse • as the Meteor Index Provider • Campus Based Authentication

6. Meteor Overview Annual Conference 2008

7. In the beginning…. • Pre-Meteor Environment • Lenders, Guarantors, Servicers, Schools and others all offer independent, proprietary web services • Access requires multiple logins • FFELP Providers Solution • Spring 2000: In response to Federal Modernization Blueprint, NCHELP members move to create a platform and program neutral information network to provide aggregated financial aid information.

8. In the beginning…. • Foundation Principles • Open Source • Open Collaboration • Freely Available • Controlled Participation Network • Not tied to a specific website, school product, or organization • Policy and Technology Decisions • The technical solutions were easy • The policy decisions required collaboration and teamwork…“co-opetition” • similar to CommonLine and CR:C

9. The Result…. • Non-proprietary, open source software that brings together data from distributed databases across the higher education financing community. • Anyone can participate! • Lenders • Guarantors • Servicers • Schools • U.S. Department of Education • And others!

10. Meteor Features Access real-time, student-specific financial aid information from multiple sources with an intuitive user interface and navigation Currentlyprovides information on FFELP and alternative loans (capability exists to include Direct Loans & Perkins Loans)

11. Meteor Today • 14 Independent points of access to the Network • 20 Data providers • Several customized implementations • Leading the way for transitive trust in higher education financing

12. How Meteor Works Annual Conference 2008

13. Meteor Participant Types • Organizations that implement the Meteor software • Access Providers (AP) • Authentication Agents (AA) • Data Providers (DP) • Index Providers (IP)

14. The Meteor Process Authentication (by AP or AA) Access Provider Data Providers Users One Student/Borrower or Financial Aid Professional orAccess Provider RepresentativeorLender Two Index Provider Three

15. Meteor Access Providers

16. Meteor Real Time Data Providers

17. Data Available Through the Meteor Network Annual Conference 2008

29. Meteor Customization Options and Examples Annual Conference 2008

30. Meteor Customization • Data integration to existing web applications • i.e. several Meteor members have integrated data from the Meteor Network into their exit counseling processes • Great tool for debt management and default aversion • One stop service – no need for the student to collect their outstanding loan information in separate sessions. • Student sees THEIR actual outstanding loan debt in the counseling session.

31. Mapping Your Future’s Online Student Loan Counseling • Integration of real-time data • NYHESC/Meteor/MYF Implementation • Advice on borrowing conservatively and maintaining debt • Debt/salary wizard • Optional budget calculator • School customization options

33. USA Funds Exit Counseling • Using the XML data provided in a Meteor inquiry response, USA Funds populates their exit counseling loan screens with real-time data from the Meteor Network

35. Meteor Customization • Style sheet changes • Integration of data into other online services

36. Meteor network data is presented in NELA branded style sheets

37. Other Customization Options • How Could You Use Meteor Data? • Integration into Debt Management Solutions • Integration into CSR/Call Center Solutions • What’s the Catch? • Need prior approval from M.A.T. • Need to implement Meteor Access Provider

38. Online Award Letter Pilot • Will serve as a debt management tool • Borrowing history presented BEFORE a new award is accepted • Ensures that borrower is aware of the potential impact of increasing his aggregate loan(s) amount • Total current outstanding • New total outstanding with the addition of the new loan • Repayment scenarios based on aggregates

39. The National Student Clearinghouse Annual Conference 2008

40. The NSC as the Meteor Index Provider • 100% (over 25 million) of FFELP guarantee volume • 100% (over 6.5 million) of Direct Loan Program accounts • Over 19.2 million FFELP servicer accounts • Over 2.9 million Perkins/Private/Alternative Loan servicer accounts

41. NSC Campus Based Authentication Annual Conference 2008

42. Campus Based Authentication • Schools that have entered into an electronic services agreement with the NSC will act as Authentication Agents. • NSC will review the school’s authentication policies & procedures • Students campus issued credentials will be utilized to access Meteor and other NSC services via NSC Student Self-Service Web site

43. NSC Student Self-Service • Meteor is integrated into NSC Student Self-Service Application • For schools that wish to provide students with Meteor access, Meteor loan detail is incorporated into the LoanLocator display

50. For More Information…. • Interactive Web Site Launched www.MeteorNetwork.org • Audio presentation • Interactive demonstration version of the software • Link to the Meteor project site • Project Documentationwww.NCHELP.org/Meteor.htm • Implementation Information • Current Provider List • User Guide and other documentation