Finding Text
Lack of Documentation of Exit Counseling
DEPARTMENT OF EDUCATION ALN #: 84.268 Federal Direct Loans
Federal Award Identification #: 2022-2023 Financial Aid Year
Condition: The College did not retain evidence of providing exit counseling to all students who left or did not send exit counseling instructions timely.
Criteria: 34 CFR 685.304(b)
Questioned Costs: $0
Context: Out of 5 students tested for exit counseling, 3 did not have documentation that exit counseling instructions were sent timely. The College sent exit counseling instructions to the students in the sample during the audit.
Cause: With transitions in personnel in the financial aid office, documentation of notifying students was not available.
Effect: Exit counseling packets assist in reducing the default rate and is a requirement for all students with Federal Direct Loans.
Identification as repeat finding, if applicable: Not applicable.
Recommendation: We recommend that the College develop a system to document that exit counseling instructions are sent to all students and to assist in reducing the College’s default rate.
Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.