Test
True or False
All "Missed Months" that occur in a consumers Rehab Program will have CARES Waiver Credits applied to them once their payment schedule is established in DMCS?
False,
New guidance from ED informed NRI that if a consumer makes a qualifying payment during the CARES act and has billing established later; ED will back date CARES Waiver Credits to the month the payment was in.
This changed from the consumer needing to make a qualifying payment before 3/12/2020 to receive back dated CARES Waiver Credits.
True or False?
When a CARES Waiver Credit is applied to the account, the balance goes down also?
False,
CARES Waiver Credits are used for a rehab program but do not effect the balance
True or False
When a consumer makes a voluntary payment towards their account it will not be applied towards the interest during the CARES Act period?
False,
Even though interest is not accruing right now consumer could of had previous interest that had accrued on the account. Once all interest is paid on the account payments would be split between principle and collection cost.
What is the time frame for the CARES Act?
March 13th, 2020 - January 31st, 2021
True or False?
CARES Waiver Credits apply to all programs?
If false; which programs do they apply to?
False,
Consumers that are fully enrolled into their Rehabilitation program on DMCS will receive CARES Waiver Credits.
True or False:
The Department of Education will make a "CARES Waiver Credit" the same billing cycle if a consumer makes a payment.
False.
If the consumer makes a payment in a billing cycle ED will not give A CARES Waiver Credit.
A consumer made their first payment on 3/13 with NRI. Their billing was established on 5/23. Would they get CARES Act Credit for the month of April?
Yes,
Per new guidance from ED, if the consumer makes 1 qualifying payment during the CARES Act and has billing established later, ED will give CARES Waiver Credits back to the next billing due date after the voluntary payment.
If the consumer made a 200 dollar payment, how much would be applied to the collection cost?
$30.40
Per the guidelines from ED there is 15.20 dollars applied to collection cost for every 100.00 paid towards an account.
True or False:
If a consumer has a pay increase on an account the billing will be established in DMCS so they can start getting CARES Waiver Credits right away?
False,
The consumer must agree to the pay increase before billing is established and CARES Waiver Credits start.
If a consumer made their first qualifying payment on April 1st but billing was established in DMCS on July 15th. What month would the consumer start getting CARES Waiver Credits?
April,
With new guidance from ED, if the consumer makes a qualifying payment during the CARES Act ED will back date CARES Waiver Credits to the next billing due date after the voluntary payment.
True or False:
Department of Education will make a "CARES Waiver Credit" the same month if a consumer makes a payment.
True.
As long as the CARES Waiver Credit and consumers voluntary payment can go into 2 different billing cycles ED will give them a CARES Waiver Credit the same month.
Determine the Consumers 9th payment date if they started with the payments below and billing was established on April 16th.
Voluntary payment dates were 12/15/2019, 1/23/2020, 2/4/2020
With a start date on 12/13/2019 9th payment would be on 8/13/2020
Determine what the earliest start date would be to maximize the grace periods, based on the payments listed. 11/26/2019, 2/6/2020, 3/6/2020, 4/24/2020, 5/6/2020, 6/6/2020, 7/6/2020, 8/15/2020.
12/04/2019. The consumer would have a missed month for January.
What is the start date used when maximizing the grace potential for the consumer with the payments made on:
7/10, 8/12, 9/21, 10/10
The start date used would be 7/28
What is the start date used when maximizing the grace potential for a consumer with payments made on:
9/9, 10/16, 10/16, 11/10
8/28
If the consumer had Billing Established in July 2020 with a billing due date of the 24th. What date would ED be crediting the CARES Waiver Credit?
The 24th of the month
If the consumer made qualifying payments on 2/1 & 3/1. Billing was established on 5/13. On 7/23 what payment would they be on?
Payment number 7,
with a start date of 1/13/20 the consumer would have payments on "2/1, 3/1 and received CARES Waiver Credits on 3/13, 4/13, 5/13, 6/13, 7/13.
Determine the Consumers 9th payment date & billing date. the Consumer made the payments below with billing established on July 08th
Voluntary payment dates were 1/28/2020, 4/12/2020
Billing due date would be 2/13/2020, 9th payment would be 10/13/2020
A consumer makes 2 payments on 1/16/2020 and additional payments on 2/10/2020 & 3/10/2020. In March the consumer called in to cancel their future payments due to COVID. When cancelling their payments the borrower asked when they could call in and make their 9th payment to start funding early. What is the billing due date used and the earliest the consumer could make their 9th payment?
Billing date would be 12/27/2019
Earliest 9th pay would be 8/7/2020
A consumer with an N-Loan sets up a rehab on 3/1 with their first payment on the same day. The CARES Act hits and their payments stop running. the consumer has billing established on 4/24. What date if any could the consumer make a voluntary payment by to save the first payment??
The consumer would not have to make a voluntary payment until after the CARES Act is over. It doesn't matter the loan type, if the consumer made a qualifying payment during the CARES Act and billing is now established ED will go back and give CARES Waiver Credits to the next billing due date after the voluntary payments.
True or False
When trying to figure out a start date a STMs should maximize the consumer grace potential when the consumer would need to make a payment after the CARES Act is over to complete their program.
True
Maximizing the grace potential for a consumer during the CARES Act gives the consumer the most amount of time after the CARES Act is over to get in contact with NRI to make their next payment due.
True or False
When trying to figure out a start date a STM should choose the earliest start date when the consumer would complete the program during the CARES Act
True
When a consumer would complete the Rehab program during the CARES act choosing an earliest start date to let the consumer utilize as many Waiver credits as possible