Course Objectives

FA120 - Default Prevention: A State of Mind

This course offers proven-successful techniques that ultimately prevent student loan delinquencies and defaults. Because there is not one miracle that reduces the chance of student loan defaults, this compilation of ideas and practices collectively greatly reduces those risks by giving ownership of the loan responsibilities to the students who benefit from them. By integrating effective borrower education and interaction from the day your students walk through your front door, your students will embrace the state of mind needed to give them lifetime accountability for their Federal Student Loans obligations.

Module 1: When the Student Arrives

  • Identify several ways to make student loan borrowers more accountable.
  • Develop a strategy to involve all staff members and departments in default prevention.

Module 2: Effective Borrower Communication

  • Create opportunities to obtain accurate borrower contact and reference information.
  • Develop strategies to build positive relationships with borrowers.

Module 3: Effective Borrower Education

  • Evaluate the effectiveness of your Entrance and Exit Interviews.
  • Describe the importance of correct In-school Deferment processing.

Module 4: When the Student Leaves

  • Identify the four student loan payment plans and understand their advantages and disadvantages.
  • Assess the impact of loan merging consolidation.
  • Identify several ways in which a borrower can avoid delinquency and default.