DEFAULT PREVENTION

Helps Borrowers While Protecting the Financial Stability and Future of Schools

WE MUST ACT NOW

DEFAULT PREVENTION Helps Borrowers While Protecting the Financial Stability and Future of Schools Fact #1 The Biden Administrations on-ramp” program will not report borrower delinquencies and defaults to credit bureaus until September 30, 2024. Fact #2 ED has not defined ANY special circumstances for schools and has not removed the schools responsibilities for delinquencies during the on- ramp program. warning! DON’T confuse borrower reporting with school reporting. Schools must address delinquencies now or risk the repercussions from the highest default rates ever recorded when borrowers are immediately placed in default at the end of the on-ramp period. We have 12 short months to work with student loan borrowers to prevent high default rates that trigger school sanctions or, worse, could close an extraordinary number of schools. Schools need to prepare borrowers NOW. Experts predict colossal delinquent rates of over letters of credit, and the devastating loss of Title IV eligibility. We must act now Choose Champions default prevention services. experience in student loan default prevention so that your school can reduce delinquent rates, minimize default rates, maximize repayment rates, which protects your schools financial stability and future. D E F A U L T P R E V E N T I O N F I N A N C I A L L I T E R A C Y P R O V E N R E S U L T S S I N C E 1 9 8 9 Champion CO L . EDGE SOLUTIONS , INC TOP 8 ISSUES WITH STUDENT LOAN PAYMENTs restart Student loans have not been serviced in years. The restart the process will be challenging and complex. 1. Inexperienced servicers 2. 3. Possible technological glitches 4. Borrower frustration 5. Challenges with notifying borrowers 6. Borrowers lack payment habits 7. Payment plan confusion 8. Interest repercussions DELINQUENT RATES OVER Get EXPERT default prevention HELP DONT BE FOOLED INTO THINKING CDRs are NOT A HOT ISSUE DEFAULT PREVENTION SOLUTIONS Solutions@ChampionsCompanies.com 480.947.7375

We have 12 short months to work with student loan borrowers to prevent high default rates that trigger school sanctions or, worse, could close an extraordinary number of schools.

Schools need to prepare borrowers NOW. Experts predict colossal delinquent rates of over 70%. Champion’s effective default prevention services can prevent school audit triggers, letters of credit, and the devastating loss of Title IV eligibility.

Champion Solutions Default Prevention Services school dice

DON’T BE FOOLED INTO THINKING CDRs ARE NOT A HOT ISSUE

Fact #1

The Biden Administration’s “on-ramp” program will not report borrower delinquencies and defaults to credit bureaus until September 30, 2024.

Champion Solutions Default Prevention Services

Fact #2

ED has not defined ANY special circumstances for schools and has not removed the school’s responsibilities for delinquencies during the on-ramp program.

Champion Solutions Default Prevention Services

WARNING!

Don’t confuse borrower benefits with school responsibilities. Schools must address delinquencies now or risk the repercussions from rapidly escalating delinquencies and record-high default rates when borrowers are immediately placed in default at the end of the on-ramp period.

TOP 8 ISSUES WITH STUDENT LOAN PAYMENTS RESTART

Student loans have not been serviced in years. The restart the process will be challenging and complex.

1. INEXPERIENCED SERVICERS

Knowledgeable servicers were eliminated and replaced by those with little experience. The potential for serious issues for schools and borrowers is high.

2. INADEQUATE STAFFING

Servicers staff shortages have led to two hour hold times and frustrated borrowers who finally reach someone rarely have their questions adequately answered.

3. TECHNOLOGICAL GLITCHES

Over half the loans have been moved to new servicers, and because of pat experiences, we are not confident that all the data was properly transferred.

4. BORROWER FRUSTRATION

Finding your current servicer is a chore and resetting automated payments all over again is a hassle when reaching servicers is so difficult.

5. NOTIFYING BORROWERS

Many borrowers relocated over the last three years, and servicers do not have current contact information to notify borrowers.

6. PAYMENT HABITS

Many borrowers have never made a payment and have zero experience with payment plans. They need help from servicers to establish good payment habits.

7. PAYMENT PLAN CONFUSION

SAVE is a new, minimally tested BETA version replacing the REPAYE plan. Little guidance is available online or by phone to help borrowers find the best plan.

8. INTEREST REPERCUSSIONS

Borrowers often don’t grasp compound interest. Skipping payments can erase gains during pauses; borrowers need to understand these risks.

CHAMPION CAN HELP

LOWER

Cohort
Default Rates

We reach out to your students at critical times throughout the repayment cycle.

RAISE

Repayment
Rates

Because your students are better informed, they are more likely to make timely payments.

TEACH

Financial
Literacy

Our borrower awareness posters, borrower ed, articles, and courses help students understand financial concepts.

GET EXPERT DEFAULT PREVENTION HELP

Choose Champion’s default prevention services. We offer over 34 years of experience in student loan default prevention so that your school can reduce delinquent rates, minimize default rates, and maximize repayment rates, which protects your school’s financial stability and future.

DEFAULT PREVENTION SOLUTIONS

Insights On Student Loans from Champion

It is no stretch to say that COVID-19 has impacted every industry, and higher education is no exception. The uncertainty about when payments resume and whether loan forgiveness will occur has led to extraordinary confusion for students and schools. The following articles may help you consider important points on these subjects!

Student Loan Borrower Survey Yields Enlightening Suggestions to Solve Core Issues

Will the Supreme Court give Biden’s loan forgiveness the green light? Most student loan borrowers say that is not enough to fix the problems but, in this survey borrowers offer enlightening solutions to resolve student loan issues.