Join our mailing list!
(Your shopping cart is empty)
Diane Publishing Books
Special Allowance Payments to Nelnet for Loans Funded by Tax-Exempt Obligations
Richard J. Dowd (au)
Special allowance payments are made to lenders in the Fed. Family Educ. Loan Program to ensure that lenders receive an equitable return on their loans. The amount of a special allowance payment is the difference between the amount of interest the lender receives from the borrower or the govít. & the amount provided under requirements in the Higher Educ. Act of 1965 (HEA). The HEA includes a special allowance calculation for loans funded by tax-exempt obligations issued before Oct. 1, 1993. The quarterly special allowance payment for these loans may not be less than 9.5%, minus the interest the lender receives from the borrower or the govít., divided by 4, here called the ď9.5% floor.Ē When interest rates are low, the 9.5% floor provides a significantly greater return than lenders receive for other loans. In April 2003, Nelnet implemented a process (ĒProject 950Ē) to increase the amount of its loans receiving special allowance under the 9.5% floor. The object of this audit was to determine whether, for the period Jan. 1, 2003, through June 30, 2005, Nelnetís use of Project 950 to increase the amount of its student loans billed under the 9.5 floor complied with the requirements in the HEA, regulations, & other guidance issued by the Dept. of Ed.
Between Friends: Writing Women Celebrate Friendship
Whiz Kid of Wall Streetís Investment Guide: How I Returned 34% on My Portfolio, & You Can,Too
Kilims: Decorating with Tribal Rugs
Commonwealth of Science: ANZAAS & the Scientific Enterprise in Australia, 1888-1988
McGraw-Hill Multimedia Handbook
Share your knowledge of this product with other customers...
Be the first to write a review
Diane Publishing Co
PO Box 617
Darby, PA 19023-0617
Become an Affiliate
Send Us Feedback
Copyright ï¿½ 2004 Diane Publishing Company. All Rights Reserved.