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UCB Studentsí FY 2010 3-Year Official Cohort Default Rate Notification Letter

                   UNITED STATES DEPARTMENT OF EDUCATION                        
                         WASHINGTON, D.C. 20202                                 
                              September 2013                                    
University of Colorado Boulder        OPE ID:                        001370     
Regent Adminstrative Center 175, 77   FY 2010 3-Year Cohort               5     
UCB                                           Default Rate:                     
Boulder, CO 80309-0077                                                          
RE:  FY 2010 3-Year Official Cohort Default Rate Notification Letter            
Dear President:                                                                 
On October 28, 2009, the U.S. Department of Education (Department)              
published in the Federal Register the regulations enacted by the Higher         
Education Opportunity Act of 2009 that will govern the calculation of           
cohort default rates. Under the new provisions, an institution's Cohort         
Default Rate is calculated as the percentage of borrowers in the cohort who     
default before the end of the second fiscal year following the fiscal year      
in which the borrowers entered repayment. This extends the length of time       
in which a student can default from two to three years.                         
Beginning with the fiscal year (FY) 2009 cohort year, schools received both     
a two and three year cohort default rate. Schools will also receive a two       
and three year cohort default rate this year. It is important to note that      
this year is the last year that two year cohort default rates will be           
released. Next year in 2014, the FY 2011 3-Year cohort default rate will be     
the only cohort default rate released.                                          
This letter officially notifies you of your school's fiscal year (FY) 2010      
3-Year cohort default rate based on Federal Family Education Loan (FFEL)        
Program and/or William D. Ford Federal Direct Loan (Direct Loan) Program        
loans made to students for attendance at your school. Your school's FY 2010     
3-Year cohort default rate is shown above. Please note that even if your        
school is no longer participating in the student loan program(s), federal       
law requires the Department to notify your school of its cohort default         
Since the Department is no longer mailing hardcopies of the cohort default      
rate notification letters to any schools, please refer to               for a               
description of the other files that the Department transmitted to you along     
with this letter.                                                               
The Department uses one of two methods for calculation of cohort default        
1.Official non-average rate for schools with 30 or more borrowers entering      
2.Unofficial rate for schools with 29 or fewer borrowers entering repayment     
with less than three years of data.                                             
For a complete explanation of the types of rates, please see                    
Chapter 2.1 of the Cohort Default Rate Guide, How the Rates are Calculated,     
available at                                                                         
The Department included three types of loans in your school's cohort            
default rate calculation:                                                       
1)  Federal Stafford Subsidized and Federal Stafford Unsubsidized Loans         
2)  Federal Direct Subsidized and Federal Direct Unsubsidized Loans             
3)  Federal Supplemental Loans for Students (Federal SLS Loans). Although       
rare, it is possible for Federal SLS loans to be included in your school's      
cohort default rate calculation.                                                
Your school's FY 2010 3-Year official cohort default rate may be a non-         
averaged rate, or an Unofficial rate (less than 30 borrowers entering           
repayment). Accordingly, the LRDR that accompanies this letter reflects all     
loans that went into repayment during FY 2010 and defaulted by September        
30, 2012.                                                                       
Please note that if a technical problem caused by the Department results in     
an inability to access the data, schools have five business days from the       
receipt of the eCDR notification package to notify Operations Performance       
Division at the email address given below. All schools must meet the            
established submission timeframes for cohort default rate adjustments and       
appeals. The Department will not review adjustments and appeals that any        
school submits outside of the established timeframes.                           
For more information on how to read the loan record detail report, please       
refer to Chapter 2.3 of the Cohort Default Rate Guide, Reviewing the Loan       
Record Detail Report, available at                                                    
There will be no sanctions associated with your school's 3-year cohort          
default rate until three years of 3-Year cohort default rates have been         
collected. This means that the first year that a school will be subject to      
loss of eligibility is fiscal year 2011 which will be released in 2014.         
However, if your school's FY 2010 3-Year cohort default rate is equal to or     
greater than 30 percent you must establish a default prevention task force      
that prepares a plan to identify the factors causing your cohort default        
rate to exceed 30 percent and submit to the Department for review.              
The FY 2010 3-Year cohort default rate for institutions involved in a           
merger or change of affiliation will be based on all borrowers from the         
parent and the underlying institutions which have borrowers that entered        
repayment in FY 2010 (October 1,2009 - September 30,2010).                      
Based on your school's FY 2010 three year cohort default rate, your school      
may be eligible to submit the following adjustments/appeals:                    
Uncorrected Data Adjustment                                                           
Loan Servicing Appeal                                                                 
New Data Adjustment                                                                   
All Uncorrected Data Adjustments and New Data Adjustments must be made          
through the eCDR Appeals application.  Unless other instructions have been      
provided via an IFAP announcement,the Loan Servicing Appeal will continue       
to be submitted via hard copy. The eCDR Appeals application, as it is           
known, allows schools to electronically submit certain challenge/               
adjustment requests during the specified timeframes and allows data             
managers (guaranty agency or Federal Loan Servicer) and Federal Student Aid     
(FSA) personnel to electronically view and respond to these                     
challenge/adjustment requests.  The application tracks the entire life          
cycle of each request from the time the case is submitted until the time a      
decision is made and the case is closed.                                        
It has come to FSA's attention that a number of schools are challenging         
data in the school's cohort default rate based on an incorrect                  
understanding of the cohort default rate calculation. This results in an        
unnecessary increase in the workload for the schools, data managers, and        
FSA. The following are some scenarios that have been noted, along with an       
explanation of why these allegations are considered invalid based on the        
current logic for the cohort default rate calculation.                          
1.School requests that borrower be removed from numerator as borrower           
defaulted, then paid the loan in full (either through consolidation or          
another method). Borrower will continue to be counted as a defaulted            
borrower for cohort default rate purposes. Current regulations only allow       
for a defaulted loan to be removed from default for cohort default rate         
purposes if the borrower successfully rehabilitated the loan within the         
cohort period, or, for FFELs held by a guaranty agency, if the lender           
repurchased the loan due to the claim being submitted or paid in error. See     
34 CFR Sections 668.183(c)(2) and 668.202(c)(2).                                
2.School alleges that borrower be removed from numerator due to an              
incorrect date entered repayment that is resulting in the default date for      
the borrower being less than 360 days from the corrected date entered           
repayment. This allegation type applies to Direct Loans or loans that were      
PUT to the Department only, since FFELs held by a guaranty agency use the       
claim paid date as the default date, not the 360th day of delinquency. If a     
data manager agrees to correct the date entered repayment, they will update     
the default date to the 360th day of delinquency based on the new date          
entered repayment. However, if the updated date entered repayment and           
default date still fall within the cohort period, the borrower will             
continue to be counted in both the numerator/denominator. If the updated        
date entered repayment causes the updated default date to fall outside of       
the cohort period, borrower will be removed from the numerator only. If the     
updated date entered repayment falls outside of the cohort period, borrower     
will be removed from both the numerator/denominator.                            
3.Borrower is included in more than one cohort year. This may be correct,       
based upon the situation. If the borrower had a break in enrollment of          
greater than six months, then the borrower will enter repayment on the          
loans from the first period of enrollment six months and one day after the      
borrower's last date of attendance (LDA) or less than half-time date            
(LTHT), then will receive another six month grace period based on the LDA       
or LTHT date of the second period of enrollment. This may result in the         
borrower being included in more than one cohort year. If the borrower's         
break in enrollment was less than six months, this is considered continuous     
enrollment and the borrower should be in only one cohort year.                  
4.School was involved in a change of affiliation/merger and has borrowers       
counted more than once in the cohort default rate. A borrower may be            
counted more than once in the school's cohort default rate if the borrower      
had loans certified under two or more of the OPE-IDs that were involved in      
the change of affiliation/merger. Please see page 2.5-2 of the CDR Guide.       
If a school has any questions regarding the cohort default rate                 
calculation, Chapter 2.1 of the CDR Guide includes a thorough explanation       
of how the rates are calculated. Additionally, a school involved in a           
change of affiliation/merger should read Chapter 2.5 of the CDR Guide for       
an explanation of how the change of affiliation/merger will affect the          
cohort default rates of all of the schools involved.                            
SCHOOL'S COHORT DEFAULT RATE?                                                   
|   Tools    |                    Description                |Contact    |      
| Information|                                               |Information|      
|Cohort      |      |May be     |      
|Default     |finalcdrg.html. Reference tool designed by U.S.|printed    |      
|Rate Guide  |Dept of Education to help schools understand   |from CDR   |      
|            |cohort default rates and various challenge/    |Guide Link |      
|            |appeal/adjustment processes. The electronic    |           |      
|            |version was revised September 2013 and may be  |           |      
|            |found online.                                  |           |      
|Default     |          |Operations |      
|Prevention  |DefaultManagement.html. Contains valuable      |Performance|      
|and Mgmt    |information for schools, guaranty agencies and |Division   |      
|Website     |borrowers. Contains link for eCDR process,     |202-377-   |      
|            |including enrollment procedures and downloading|4259       |      
|            |instructions.                                  |           |      
| eCDR       |Electronic Cohort Default Rate Appeals Process |Operations |      
| Appeals    |                                               |Performance|      
|            |eCDR Appeals facilitates the exchange of       |Division   |      
|            |information between parties for three of the   |202-377-   |      
|            |challenge/adjustment processes:Incorrect Data  |4259       |      
|            |Challenge (IDC), Uncorrected Data Adjustments  |           |      
|            |(UDA), and New Data Adjustments (NDA). The     |           |      
|            |application allows schools to electronically   |           |      
|            |submit these challenges and adjustment requests|           |      
|            |during a cohort default rate cycle, and allows |           |      
|            |data managers (guaranty agency or Direct Loan  |           |      
|            |Servicer) and Federal Student Aid (FSA)        |           |      
|            |personnel to electronically view and respond to|           |      
|            |challenges and adjustment requests. The        |           |      
|            |application tracks the entire life cycle of    |           |      
|            |each challenge/adjustment request from the time|           |      
|            |the case is submitted until the time a decision|           |      
|            |is made and the case is closed.                |           |      
|            |                                               |           |      
|            |All users must complete the registration       |           |      
|            |process to gain access to eCDR Appeals. The    |           |      
|            |eCDR Appeals homepage contains a link to the   |           |      
|            |Registration and User Account Guide, which     |           |      
|            |gives step-by-step instructions for            |           |      
|            |registration. Links to the User Guides for the |           |      
|            |three processes can also be found here, as well|           |      
|            |as a link to the Cohort Default Rate Guide.    |           |      
|Late Stage  |Process whereby schools work in collaboration  |Direct Loan|      
|Delinquency |with servicers or guarantors to identify and   |Servicer   |      
|Assistance  |provide counseling to borrowers more than 240  |888-877-   |      
|(LSDA)      |days late on loan repayment. For Direct Loan   |7658 (can  |      
|            |schools, the website https://www.myedaccount.  |guide you  |      
|            |com/ identifies borrowers whose impending      |through the|      
|            |default will impact the school's cohort default|process)   |      
|            |rate.                                          |           |      
|National    | Offers schools the|NLSDS      |      
|Student Loan|opportunity to request reports in extract or   |Customer   |      
|Data System |preformatted formats that can be retrieved     |Service at |      
|(NLSDS)     |through the Students Aid Internet Gateway(SAIG)|(800) 999- |      
|            |account associated with the NLSDS User Id that |8219       |      
|            |requested the report. Listed below are some    |           |      
|            |reports NLSDS offers.                          |           |      
||Report  |  Brief Description of the NLSDS Reports                     ||      
||name    |                                                             ||      
||        |School CDR Rate History Report provides school with a copy   ||      
|| DRC035 |of the Loan Record Detail Report that lists students in      ||      
||        |default/repayment during the cohort period indicated.        ||      
||--------|------------------------------------------------------------ ||      
||        |Enrollment Reporting Summary Report provides school users    ||      
|| SCHER1 |with the chronology of enrollment reporting events.          ||      
||--------|------------------------------------------------------------ ||      
||        |Date Entered Repayment Report provides school users with a   ||      
|| DER001 |list of student borrowers with loan history who are          ||      
||        |scheduled to go into repayment during a specified date range.||      
||--------|------------------------------------------------------------ ||      
||        |School Repayment Information Loan Detail provides school     ||      
|| DRC015 |users with the current repayment status of certain borrowers ||      
|| DRC016 |in FFEL/DL loan programs who attended a school during a      ||      
||        |specific period.                                             ||      
||--------|------------------------------------------------------------ ||      
||        |Exit Counseling Report provides school users with exit       ||      
|| SCH01B |counseling information on students who attended the          ||      
||        |requesting school and whose anticipated completion dates fall||      
||        |within a specified date range.                               ||      
||        |The Delinquent Borrower Report (DELQ01) provides School users||      
|| DELQ01 |a report of borrowers who have been reported as delinquent in||      
||        |making loan payments to one of the federal loan servicers.   ||      
||--------|------------------------------------------------------------ ||      
||        |The School Portfolio Report (SCHPR1) provides ED users with  ||      
|| SCHPR1 |with information about all Direct Loan and/or FFEL program   ||      
||        |loans for a specified school.                                ||      
Additional tools and information may be found in Chapter 3.2 of the Cohort      
Default Rate Guide, Monitoring Loan Repayment Status Year-Round, available      
If you have any questions about this letter that are not answered in the        
Cohort Default Rate Guide, please contact Operations Performance Division       
via email at or via phone at (202)        
Please be sure to include your Office of Postsecondary Education                
Identification Number (OPE ID) on all correspondence, as shown on page one      
of this letter.                                                                 
Katrina Turner                                                                  
Operations Performance Management Services                                      
Business Operations                                                             

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Last revision 03/17/15

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