According to a presentation made during the Department of Education's (ED) Federal Student Aid (FSA) Training Conference on Tuesday, the Annual Student Loan Acknowledgment tool (StudentAid.gov) will receive a number of updates aiming to streamline the student loan process.
The Annual Student Loan Acknowledgement will be used to inform borrowers what they owe — or could owe — in federal student loans and will be individually tailored toward first-time and current loan borrowers to help provide details surrounding loan status and forecasts of estimated monthly payments.
For first-time borrowers, the loan holder would be presented with general information along with College Scorecard data before acknowledging the origination of their loan. A current loan borrower would be presented with details on their loan and grant history before acknowledgement of their newly originated loan.
FSA touted that the updates to the product incorporated feedback from user testing with high school seniors, college undergraduates, graduate students, and parents. In addition to new design features that are meant to improve borrower profiles, FSA also said the landing page will feature borrower types and a tracker that will aim to better guide borrowers through the acknowledgement process.
All federal Direct Loan borrowers will have to complete acknowledgement prior to receiving a loan disbursement for the 2021-22 award year.
Publication Date: 12/2/2020