Default Management Step 7: Monitor Results and Adjust
In Step 1, we talked about the importance of cross-institutional participation in understanding why default is an issue at your school.
In Step 2, we covered building a default prevention team, which should include key players from both the financial aid office and from other areas of your institution.
In Step 3, we touched on collecting default data, which brings to light the characteristics of your current defaulted students.
In Step 4, we advised you create a plan to help students who are especially at risk of defaulting.
In Step 5, we outlined how to create an in-school plan for ALL students.
In Step 6, we suggested developing an out-of-school follow-up plan.
The final step of executing a default prevention plan is to carry out the plan, monitor results, and adjust where needed.
As your school begins to carry out its default prevention plan, consider working with federal loan servicers – they have valuable resources for schools and are in regular contact with your borrowers.
To further the success of your program, be sure to monitor performance statistics. Doing so will allow you to see where tweaks may need to be made to the plan. Trackable data could include:
- Actions that impacted withdrawal rates
- Information obtained from students who withdrew
- Financial literacy program participation
- Success of various outreach efforts for delinquent borrowers
Of course, be sure to review your school’s draft Cohort Default Rates each year and update any incorrect information.
Ready to create your default management plan? Download our Default Management Plan template to get started!
Kristin Tobias, Communications Coordinator, Nelnet
