ADVANCED LEARNING LOAN

1. ADVANCED LEARNING LOAN Paul Smith Head of Business Development 14th May 2013

2. SLC Roles and Responsibilities • Key responsibilities under the programme: • Application, Assessment and Customer Contact • Attendance and Payments • Provider Relationship and Enquiry Management for Administration Processes and Systems • Access to HE Write-off • Repayments • Support to Agency functions: • Provide management information and monitoring to enable appropriate budget and allocations management • Support to BIS functions: • Learner IAG • Governance, control and management of public funds

3. Engagement Strategy • Providers offered a wide range of demand-led contact channels • Guidance, FAQs and procedures • Training • Systems training via e-learning • Awareness / process training via seminars • Input via Learning Provider Services Advisory Group, Stakeholder Reference group, individual visits and attending sector events • Joint delivery with Agency activities

4. Application and Assessment (2) • Application process launched in April 2013 for learning aims commencing from 1st August 2013 • Straight forward eligibility – non-means tested application • Details from Learning & Funding Information Letter given to learners, essential for accurate completion of the application • Primarily online service • Paper channel available • Loan contract and signature • Fast processing of applications where SLC have complete and correct details – majority dealt with by automated processing • Dedicated processing team

5. Application and Assessment (3) • Identity checks with IPS • 95% applicants quoting passport numbers • of which 95% checked first time • 5% will submit other forms of ID e.g. birth certificate • National Insurance Number Validation with DWP • 97% success rate • Check Provider and Learning Aim approved for funding • Data received from the Agency

6. Learner Information & Guidance • NCS website – upfront Information, Advice and Guidance for learners • NCS contact centre - telephone support for careers and options • NCS referrals to SLC Customer Contact for applications • SLC Contact Centre - 0845 24 020 24 – Active now • GOV.uk – learner registration, login and application. Guidance on application process • Money Advice Service has a loans web-page, financial advice to IFAs • SLC Practitioners website

7. Learning Provider Portal • Initial release from 1st March 2013 • Approved providers and learning aims from agency • Approved providers notified to SLC by the Agency will have access • All service interactions will be delivered via the portal

8. Applicant Information Service • Available May 2013 • Search and view learner data for your organisation • Data will show application status and outcome of the assessment • Ability to update field such as • ULNs (mandatory prior to attendance confirmation) • Additional Learner Reference, Course Trainer, Course Location • Early sight of information for checking prior to attendance confirmations

9. Attendance and Payments (1) • Attendance confirmation is required: • Initially – two weeks after learner starts course • Subsequently – quarterly - requested on the 1st of the month for payment in that month and the remaining two months of the quarter • Learners first become liable upon initial confirmation two weeks after their start date • Positive actual confirmation is assumed to apply to subsequent months in each quarter unless SLC receive notification to indicate otherwise • In between quarters, attendance, and therefore liability, is assumed on the first of every month in order to release payment later in the month

10. Attendance and Payments (2) • Payments scheduled on a flat monthly profile based on initial liability point and learning aim end date – equal instalments • Paid on set date each month – no interim / catch up payments • Payments made 3rd Wednesday of the month • Payments can only be scheduled up to a maximum length for each type of aim • 2 years for certificates, Access to HE and A Levels • 3 years for diplomas and Apprenticeships • Balancing payment made if learner completes early

11. Change of Circumstances • Changes can be notified by providers through the portal • Changes directly and automatically applied to the application • Reports and audit history available • Learner receives revised entitlement letter • Export / import CoCs in bulk

12. Financials and Reports • Loan position report will show the forecast of loan payments due to the provider • Annual position breakdown by AY and FY • Ability to view the data by month • Statement available of each payment made – view on screen or export • Breakdown of each payment by learners and amounts paid. Any recoveries detailed where applicable

13. Repayments • Deducted from PAYE or Self Assessment • System in place from April 2016 • Voluntary repayments can be made prior to this and during or after completion of learning • Repayments will be made at 9% of earnings above £1,750 pcm • Interest and repayment thresholds as per HE arrangements • Operated by SLC, HMRC and Employers as in place for HE loans • Emigrants have a choice of repayment channels, with income thresholds adjusted to a country cost-of-living index

14. System interactions • Easy to use portal screens: • Attendance confirmations and Change of Circumstances • Submission for individual or multiple learners at the one time • Option to import xml file if preferred – providers can opt to use screens, import or combination of both • Export of information if required: • Learner application information (including assessment history) • Loan position report and payment breakdown • Change of Circumstance submission history • Technical specifications being released to IT suppliers and providers as development progresses • Partner test facility will be available

15. Learning Provider Actions • Appoint administration manager • Assign system roles • Check with IT supplier – xml import readiness • Define fees procedure • Learners starting without a loan being in place • Part self-funding learners, collection of balance • Approach for ineligible learners • Setting of fees is for the course, not per AY • ILRs require single additional field to indicating learners with loans • Reasons for non-payment • Timeliness of attendance returns

16. Support and Resources • Learning Provider Services Website • www.lpservices.slc.co.uk • Guidance material and resources • General queries on Administration Systems and Processes • LPservices@slc.co.uk • Regional Support from Partners Management Team • http://lpservices.slc.co.uk/contact/fe-loans-product-consultants.aspx • Operations Helpdesk for system queries – 0845 240 2627

17. QUESTIONS?