Thursday, March 19, 2009

New Borrower?

I spent most of an hour today on a conference call discussing what a "new PLUS borrower" was in anticipation of the PLUS auction regulation scheduled to be implemented for 7-1-09.

Is a new borrower someone who has never borrowed before; someone who has never borrowed from a particular lender; or (as we thought it would be best), someone who does not owe any money on a PLUS loan on 7-1-09. Monday we tackle when the new borrower as we hope it will be defined is eligible for a PLUS loan from one of the two lenders who wins the auction that will be designated for a State.

Welcome to the world of FFELP loan servicing. Who makes up these rules, you say? The Federal government.

1 comment:

Darlene said...

PLUS Auction Cancelled. Good news for everyone involved.