Effective July 1, 2008, new federal regulations will prohibit lender and guarantor staff from conducting group loan counseling sessions. To help campus staff prepare for loan counseling, here are key issues to consider.

1. Identify the students who are required to complete loan counseling.
   • Entrance counseling:
     • Does your Financial Aid Management System identify first-time borrowers? If not, you may need to work with your campus’ admissions office to determine new students and match that list with those who have been awarded loans.
     • Have you set up checks and balances with your business office to ensure that loan funds are not disbursed to new students until they have completed the required loan counseling?
   • Exit counseling:
     • Does your Financial Aid Management System identify borrowers who are graduating? If not, you may need to work with your campus’ student records office to determine graduating students and match that list with those who have received student loans.
     • Do you have a process in place to identify current and past loan recipients who drop below half-time status or withdraw? You must provide exit counseling to these students.
       
       
2. Take a variety of issues into consideration when planning session times.
   • Base the number of sessions you offer on the number of students required to attend the loan counseling sessions. Sessions with fewer than 100 students allow for better interaction and questions from the audience.
   • Plan your sessions for no longer than 60 minutes with time allowed for questions and answers. If planning for back-to-back sessions, allow 90 minutes between the start times of the sessions.
   • Be prepared for students to address you privately with questions they do not want to share with the other students.
   • Secure the support of administrative offices, especially if students will need to be excused from classes to attend required loan counseling.
   • Determine what loan counseling materials you will provide to your students.
     
     
3. Examine what equipment you’ll need for the sessions.
   • Location.
     • Provide tables or desk sides that enable students to take notes.
     • The room size should be consistent with the number of expected students.
     • Ensure that the necessary equipment is available. Some items needed might be a laptop, projector, screen, microphone and audiovisual technician for support.
     • Set up a table for registration, materials distribution and collection of forms. Have pens and pencils available at the registration table.
     • The room should be large enough to accommodate tables at the back or side of the room if you offer refreshments following the presentation.
     • Ensure that the room is handicapped accessible.
     • Have nearby restrooms and point them out to participants at the start of each session.
   • Offer sessions at different times and on different days of the week to accommodate busy schedules. Mondays and Fridays generally are not good days.
     • If possible, do not schedule sessions in competition with other campus events, such as sporting events or concerts.
       
       
4. Get out the word about the events.
   • Thirty days prior to the sessions, advertise with posters, announcements, letters to students, e-mail invitations and newspaper advertisements listing times, location, and the importance of attending.
     • Notifications should provide information that students need to bring to the interview, such as employer information and references names and addresses for exit counseling.
     • Recommend that students write down their questions and concerns and bring them to the sessions.
   • Consider mailing supplemental information for students to complete or review prior to the sessions:
     • For entrance counseling, the Student Loan Entrance Interview form.
     • For exit counseling, the Student Loan Exit Interview form; as well as a listing of the student’s loans provided by the financial aid office, or a printout of the student’s National Student Loan Data System loan information.
   • Some schools provide refreshments to encourage students to attend. If you do so, communicate your plans with students.
   • Send a letter or e-mail reminder to students one week prior to the first session.
   • Develop a plan for working with students who fail to attend, such as mailing them information and presentation materials, sharing information about the availability of individual interviews, or providing a Web site for online interviews.

To learn more information about these key steps contact your USA Funds Sales Representative, or visit the USA Funds Web site, www.usafunds.org, and select “Training” to learn more.