If you’ve done everything right in the fall, disbursing for Spring Semester is as easy as a push of a button. Is it ever that easy though? Yeah right.
January 2019 will begin the COD system’s “Peak Processing Period” for the 2018-2019 Award Year. During this time origination and disbursement batch processing may take up to 24 hours. Mondays and Tuesdays are busiest processing days at COD and they recommend that schools with the ability to schedule their batch submissions later in the week do so. Everything else is expected to run according to schedule according to a recent electronic announcement which says that if processing takes longer than 24 hours, COD’s School Relations Center will contact any affected schools on the next business day. Happy Processing!
Beginning on October 1, 2018 origination fees on Direct Loans including Direct PLUS Loans, are going up. Iraq-Afghanistan Service Grants (IASG) and TEACH Grants are also being reduced. These changes will apply to all loans, IASG and TEACH Grants where a first disbursement is made on or after October 1.
The origination fees have been changing every October 1st because of the Budget Control Act of 2011, known as the sequester law. For Federal Fiscal Year 19 (October 1, 2018 – September 30, 2019):
The loan fee for Direct Subsidized Loans and for Direct Unsubsidized Loans is 1.062%. For example, the fee on a $5,500 loan will be $58.41.
The loan fee for Direct PLUS Loans (for both parent borrowers and graduate and professional student borrowers) is 4.248%. For example, the fee on a $10,000 PLUS Loan will be $424.80.
An Iraq-Afghanistan Service Grant where the first disbursement is on or after October 1, 2018 and before October 1, 2019 requires a reduction of 6.2 percent from the award amount for which the student would otherwise have been eligible.
A TEACH Grant where the first disbursement is on or after October 1, 2018 and before October 1, 2019 requires a reduction of 6.2 percent from the award amount for which the student would otherwise have been eligible.
For more information about the sequester changes see this electronic announcement from FSA.
The 1098-T, Tuition Statement form reports tuition expenses students paid for college tuition that might entitle them to an adjustment to income or a tax credit.
The deadline to provide students with 1098-T Forms is January 31, 2018
Schools and Colleges are required file Copy A with the IRS by February 28, 2018, (or March 31, 2018, if electronically filed).
This year, the federal deadline to make corrections or updates to a 2016-2017 ISIR is on Saturday September 9, 2016.
According to the Federal Register, the deadline date for the receipt of a signature page for the FAFSA (if required), correction, notice of change of address or school, or request for a duplicate SAR is September 9, 2017.
For all Federal student aid programs, an ISIR or SAR for the student must be received by the institution no later than the student’s last date of enrollment for the 2016-2017 award year or September 23, 2017, whichever is earlier.
Verification documents must be received by the institution no later than 120 days after the student’s last date of enrollment for the 2016-2017 award year or September 23, 2017, whichever is earlier.