��<!DOCTYPE HTML PUBLIC "-//IETF//DTD HTML//EN"> <html> <head> <meta http-equiv="content-type" content="text/html;charset=utf-8"> <meta name="FORMATTER" content="Microsoft FrontPage 2.0"> <meta name="GENERATOR" content="Microsoft FrontPage 4.0"> <title>Product Release Index</title> <link rel="stylesheet" type="text/css" href="../../corp.css" /> <base target="main"> </head> <body> <h3 align="center">Release Notes: Item 1306-01</h3> <H5 align="center">Direct Loan Fees</h5> <HR width="80%" align= "center"> <p>This release item modifies FINANCIER to accommodate the change in loan fees for loans whose first disbursement occurs after July 1, 2013, ensuring that the fee, rebate and net loan amounts exported to COD are correct for the actual disbursement date. Leveraging modifications introduced in release item 1207-01, loan fee and interest rebate percentages stored in the Loan Application records are used to compute the disbursement-level values for loan fees, interest rebates, and net loan amounts. (The rebate percentage for both 2012-13 and 2013-14 loans is 0, so only the loan fee changes should affect the net loan amounts.) <p>The post-July 1 fee percentages are 1.051 for student subsidized and unsubsidized loans, and 4.204 for PLUS loans. As the percentages are expressed to three decimal places, various holding fields and data area fields must be increased in size, affecting WFLNFEEE (Loan fee calculation), WFLOAPPD (Loan Application file PDA), WFDISDFE (Direct Loan fee lookup) and WFDISBSN (Disbursement routine). Because of how ADABAS handles numeric fields, a new conversion program, WCDLCNVB, is required to restore the decimal point to its proper position. (In a 5-byte P3.2 field, "00100" means "001.00", but when it is changed it to P3.3, the new byte is added at the beginning, and the value becomes"000100". It needs to contain the value "001000" to accommodate the decimal place position, so the conversion program simply multiplies the values in the converted fields by ten.) <p>A new version of last year's conversion program WCDLFEEB will populate the Loan Application fields with appropriate percentages and issue a report of affected students. The program reads through the Loan Application file, populating the loan fee and interest rebate percentage fields with values, depending on whether the first disbursement has been made. If the loan has had dollars disbursed, it assigns the pre-July 1 rates; if no disbursements have yet been made, it assigns the post-July 1 rates and calls WFLNFEEE (the Loan Fee Calculation subroutine) to do its normal job of calculating the actual fee and rebate dollars and the resulting net loan amount, and then updates the corresponding Loan Disbursement records.</p> <p>The institution must run this program AFTER the last pre-July 1 Disbursement Authorization, Direct Loan Export and Direct Loan Import, and BEFORE the first post-July 1 run of these programs.</p> <p>Thereafter, if you update an existing loan, WFLNFEEE will leave the percentages intact. On a new loan, it will apply the post-July 1 rates to the Loan Application record and use these rates to calculate the loan fee and interest rebate amounts to be stored in the Loan Disbursement records. The Direct Loan Export will use the stored rates in lieu of hard-coded rates when reporting the two percentages.</p> <p>Once the changes are put into place as close to July 1 as possible, COD reporting will be correct in all cases. However, a potential complication exists in the Disbursement Authorization process for students who have more than one loan of the same type. The Disbursement Authorization can t always tell which loans dollars are being disbursed in any given run; all it can do is identify disbursements that are made for students who have two loans at two different rates. Most of these will not actually be problems  - anyone who had a fully-disbursed loan prior to July 1 and then gets a second loan afterwards will not be a problem; all of their post-July 1 disbursements should be at the new rate. For the potentially mixed-rate disbursements, the disbursement is done using the post-July 1 rate (which risks under-disbursing the student). If you get "mixed rate loan" warnings from the Disbursement Authorization program, you'll need to decide whether any of the disbursement authorization was done at the wrong rate, and to manually adjust the disbursement (net loan) amount and the payment (loan fee) amount to compensate.</p> <h4>Implementation Notes</h4> <ul> <LI>This item is required at all client sites.</li> <LI>Load the new/replaced and updated modules from the SYSTRANS input file in the <A href="http://www.wolffpack.com/clientservices/client_zip_files/2013/1306-01.zip">attached zip file.</A> Or, you may apply source changes manually for the updated modules. Click on the "mods" link next to the module name for the Differences Report, which shows the previous and current versions of the module side by side. For a further description of the Differences features, click the "Help" link at the top right when the report is displayed. <ul> <li class="list">WCDLCNVB (new)</li> <li class="list">WCDLFEEB (<a href="./1306_01/wcdlfeeb.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WCDLLSTB (<a href="./1306_01/wcdllstb.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFDISBSN (<a href="./1306_01/wfdisbsn.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFDISDFE (<a href="./1306_01/wfdisdfe.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLNDDTM (<a href="./1306_01/wflnddtm.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLNDDTP (<a href="./1306_01/wflnddtp.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLNDDTZ (<a href="./1306_01/wflnddtz.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLNEDTM (<a href="./1306_01/wflnedtm.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLNEDTP (<a href="./1306_01/wflnedtp.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLNEDTZ (<a href="./1306_01/wflnedtz.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLNFEEE (<a href="./1306_01/wflnfeee.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLOAPPD (<a href="./1306_01/wfloappd.htm" target="rlsmods" class="mods">mods</a>)</li> <li class="list">WFLOAPPS (<a href="./1306_01/wfloapps.htm" target="rlsmods" class="mods">mods</a>)</li> </ul> Or, you may apply source changes manually to the updated modules.</li> <li>Modify the ADABAS file definition for the WF-LOAN-APP file to increase field sizes of WF-LA-PCT-FEE and WF-LA-PCT-REB from P3.2 to P3.3. Also, change the Edit Mask for the each of the two fields from EM=ZZZ.99 to EM=ZZZ.999. </li> <li>Regenerate the ADABAS WF-LOAN-APP file.</li> <li>Regenerate the DDM for the WF-LOAN-APP userview.</li> <li>Perform a CATALL.</li> <li>Run the decimal point conversion program WCDLCNVB. You can check the report in Print File 2 (FINANCIER Direct Loan Fee Percent Field Adjustment) to confirm that decimal points are correctly restored.<br /><br /><strong>Note: This conversion program will need to be run immediately after the ADABAS file change above, prior to any data maintenance.</strong> </li> <li>If you are concerned that you may have students with more than one loan of the same type, you can run the list program WCDLLSTB to get a feel for how many students may need to be monitored individually. The program provides a snapshot of students who have two loans in process, one partly but not fully disbursed (so there will likely be further disbursement at the pre-July 1 rate) and one not yet disbursed at all (so there will likely be some disbursements at the post-July 1 rate).</li> <li>Run the loan conversion program WCDLFEEB after you apply the other changes, and BEFORE you begin disbursing or exporting loans after July 1. Check the report of affected students.</li> <li>Thereafter, review any mixed-loan students after each 2012-13 Disbursement run. As needed, adjust disbursements manually:<ol> <li class="list">Calculate the amount of the excess fee (the difference in the loan fee rates times the gross disbursed dollars from the loans that should have been at the pre-July 1 rate)</li> <li class="list">Process a negative payment (P transaction) for that amount</li> <li class="list">Process a compensating positive disbursement (D transaction) for the amount</li></ol> <HR width="80%" align= "center"> </body> </html>