Thirty-orFewer Borrowers Appeal

Chapter

4.10

What is a 30-or-fewer borrowers appeal? . . . . . . . . . . . 4.10-1

What if a school disagrees with an initial determination by Default Management? . . . . . . . . . . . 4.10-1

Thirty-or-Fewer Borrowers Appeal

Chapter 4.10

Thirty-or-Fewer Borrowers Appeal
34 CFR 668.197 What is a 30-or-fewer borrowers appeal? If a school has a total of 30 or fewer borrowers included in the three most recent cohort periods used to calculate its cohort default rates, the school is not subject to cohort default rate sanctions. The U.S. Department of Education’s (the Department’s) Default Management will automatically determine if a school meets the criteria associated with a 30-or-fewer borrowers appeal. This initial determination will take place prior to the release of the official cohort default rates. Default Management will notify the school if it qualifies for a 30-or-fewer borrowers appeal at the same time Default Management notifies the school of its official cohort default rate. In addition, if a school’s official cohort default rate changes because of an adjustment or appeal the school submitted, Default Management will automatically determine if the change results in the school meeting the criteria for a 30-or-fewer borrowers appeal. Figure 4.10.1 shows the time frame for a 30-or-fewer borrowers appeal. What if a school disagrees with an initial determination by Default Management? If a school disagrees with an initial determination by Default Management that the school is not eligible for a 30-or-fewer borrower’s appeal, the school may send a formal appeal to Default Management. The appeal should include supporting documentation showing that there were a total of 30 or fewer borrowers in the three most recent cohort periods used to calculate its cohort default rates. The school must include a certification from the school’s chief executive officer that all information is true and correct. The school must send the appeal within 30 calendar days of receiving the Department’s notice of a loss of eligibility. Figure 4.10.1 Time Frame for Submitting a 30-or-Fewer Borrowers Appeal
30-or-Fewer Borrowers Appeals 34 CFR 668.197

You receive the draft
or official cohort default rate or notice of loss or provisional certification.

Start

You request loan
record detail report, if not sent with notice.

We send loan record
detail report.

You send data
manager your challenge or your request for information.

You send us your
management's written assertion.

Data manager
notifies you of any fee for providing records.

You pay the fee, if charged. Data manager
sends information or challenge response.

You request
replacement or our records (if we have the loan)

CHAPTER 4.10 - Thirty or Fewer Borrowers Appeal

Data manager
sends you information.

You send us your
completed challenge, adjustment or appeal.
Your deadline Your last deadline

Days
Ours or data manager’s deadline Action not always required

30

Key:

Page 4.10 - 1