Financial Aid Services Bulletin 2010 - 002
Draft Cohort Default Rate Challenge March 8, 2010
The Department of Education (ED) has released the draft default cohort rate for 2008. HESC understands schools actively work with student borrowers to prevent defaults and reduce their rate. HESC is committed to working with you to ensure that your draft rate accurately reflects your efforts.
As you know your school has an opportunity to challenge your draft cohort default rate and/or appeal your official cohort default rate. Refer to the cohort default rate guide and timeline for details:
To streamline the appeals process, ED has implemented Electronic Cohort Default Rate Appeals (eCDR Appeals);
click here for instructions. Many schools are using this process and find it to be simple and efficient.
Schools may obtain an electronic Loan Record Detail Report at the
National Student Loans Data Systems (NSLDS) Web site. The report contains the data used to calculate a school’s FY2008 official cohort default rate. For schools enrolled in eCDR the Loan Record Default Report was included in the eCDR package.
Timeframe Is Critical for Incorrect Data Challenge
Timing is critical when submitting an Incorrect Data Challenge (IDC). Schools must submit the challenge within 45 calendar days of the timeframe begin date. The timeframe for challenging a school’s FY2008 Draft Cohort Default Rate under 34 CFR Part 668, Subpart M began on Wednesday, February 17, 2010. An IDC preserves the school’s right to submit an Uncorrected Data Adjustment after the final cohort is released. An Uncorrected Data Adjustment must be completed within 30 calendar days after the official cohort rate has been published and is submitted directly to ED by the school.
HESC is ready to work with you throughout the appeals process. Please contact Sarla Singh for assistance and to resolve any questions. You can reach Sarla at
SSingh@hesc.org or (518) 473-1670.
Please direct questions or comments regarding the use of HESC electronic products or services to Priority Services at
priorityservices@hesc.org. Direct any technical problems with HESC electronic service to the HESC Help Desk.
To contact HESC toll free, call 1-866-431-HESC (1-866-431-4372) and follow the menu prompts.
