Subscribe to our mailing list

X

The Schools on the Federal Student Loan Watchlist – Sep 2017 Edition

By on November 6, 2017

The U.S. Department of Education may place institutions on a Heightened Cash Monitoring (HCM) payment method to provide additional oversight of cash management. Heightened Cash Monitoring is a step that FSA can take with institutions to provide additional oversight for a number of financial or federal compliance issues, some of which may be serious and others that may be less troublesome.

There are two levels of Heightened Cash Monitoring:

Heightened Cash Monitoring 1 (HCM1): After a school makes disbursements to eligible students from institutional funds and submits disbursement records to the Common Origination and Disbursement (COD) System, it draws down FSA funds to cover those disbursements in the same way as a school on the Advance Payment Method.

Heightened Cash Monitoring 2 (HCM2): A school placed on HCM2 no longer receives funds under the Advance Payment Method. After a school on HCM2 makes disbursements to students from its own institutional funds, a Reimbursement Payment Request must be submitted for those funds to the Department.

Schools may be placed on HCM1 or HCM2 as a result of compliance issues including but not limited to accreditation issues, late or missing annual financial statements and/or audits, outstanding liabilities, denial of re-certifications, concern around the school’s administrative capabilities, concern around a schools’ financial responsibility, and possibly severe findings uncovered during a program review. Some schools are on this list due to preliminary findings made during a program review that is still open. Those findings could change when the program review is completed. – Source

List of Institutions on HCM as of March 1, 2015

List of Institutions on HCM as of June 1, 2015

List of Institutions on HCM as of September 1, 2015

List of Institutions on HCM as of December 1, 2015

List of Institutions on HCM as of March 1, 2016

List of Institutions on HCM as of June 1, 2016

List of Institutions on HCM as of September 1, 2016

READ  These Colleges Are On a Department Of Education Watch List as of 12-1-2016

List of Institutions on HCM as of December 1, 2016

List of Institutions on HCM as of March 1, 2017

List of Institutions on HCM as of June 1, 2017

List of Institutions on HCM as of September 1, 2017

About Steve Rhode

Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.

Share a Comment / Leave a Reply