Publication Date: July 23, 2008
Summary: Issue Alert: NSLDS Postscreening Data on 2008-2009 ISIR Records
May Incorrectly Indicate Student is About to Exceed Aggregate Loan Limits
Federal Student Aid has discovered an issue with data provided by the
Central Processing System (CPS) to the National Student Loan Database
System (NSLDS) for use in the postscreening process for 2008-2009 Institutional
Student Information Records (ISIRs). This system issue resulted in the
incorrect identification of independent students as dependent students
in NSLDS, and as a result, during the NSLDS postscreening process, some
students were erroneously flagged as exceeding aggregate loan limits on
postscreening Student Aid Report (SAR)/ISIR transactions generated by
the CPS.
We have determined that approximately 18,000 postscreening records have
been impacted by this issue since January 1, 2008. Impacted postscreening
ISIR transactions were sent using message class IGSG09OP and contain the
following identifiers:
- SAR C Flag (ISIR field # 175)
- NSLDS Postscreening Reason Code 10 (ISIR field #282)
- SAR Comment Code 260 ("Based upon data provided by the National
Student Loan Data System (NSLDS), your grade level, and your dependency
status, we have determined that you may have received student loans
in excess of loan limits established for the federal loan programs.
You should review the information on Page 4.")
Note: This issue is limited to the exchange of data between the
CPS and NSLDS only and does not impact the CPS calculation of the
dependency status on the SAR or ISIR. From the beginning of the 2008-2009
application processing year, the CPS has assigned the correct dependency
status to student aid applicants, and the correct model determination
and need analysis formula were used to determine applicants' expected
family contribution (EFC).
Resolution of Issue
We resolved the CPS issue that resulted in providing the incorrect dependency
status values to NSLDS on July 16, 2008. We are currently evaluating the
steps necessary to correct the dependency status data in NSLDS and plan
to send out new postscreening SAR/ISIR transactions the week of July 28,
2008. These new transactions will contain the NSLDS Postscreening Reason
Code of 99 (Other).
Implementation of ECASLA Loan Limits at NSLDS
The issue described in this message is responsible for most of the recent
increase in postscreening SAR/ISIR transactions being sent to students
and schools. However, the increase in postscreening output is also related
to the new loan limits mandated by the Ensuring Continued Access to Student
Loans Act of 2008 (ECASLA), Pub. L. 110-227. Schools are authorized as
of July 1, 2008 to award loans according to ECASLA loan limits; however,
the aggregate loan limit warning edits in NSLDS are still set at pre-ECASLA
levels.
During the postscreening process, NSLDS looks to see if applicants have
exceeded aggregate loan limits. If so, NSLDS notifies the CPS to send
out SAR/ISIR transactions to students and schools with a SAR "C"
flag and the corresponding SAR comment. However, because NSLDS currently
uses pre-ECASLA aggregate loan limits, some of these system-generated
transactions may be in error and students may be eligible for loan awards
that NSLDS has flagged as potentially exceeding aggregate loan limits.
NSLDS is planning to implement the increased aggregate loan limit warning
edits by mid-August 2008. This will help reduce the number of postscreening
SAR/ISIR transactions.
Note: It is important that financial aid administrators continue
to carefully investigate each postscreening ISIR sent by the CPS. Postscreening
SAR/ISIR records may be generated with the same indicators provided earlier
in this message for entirely legitimate reasons related to a particular
student's financial aid history.
If You Have Questions
We regret any inconvenience this issue may have caused you.
If you have any questions regarding this message, contact CPS/SAIG Technical
Support at 800/330-5947 (TDD/TTY 800/511-5806) or by e-mail at CPSSAIG@ed.gov.
Posted 07/24/08 to www.NASFAA.org. Please submit Web Site questions or comments to Web@NASFAA.org
