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Managing Disbursement Hold and Release Processing

The system automatically selects and reviews pending CommonLine loan disbursements. If your institution participates in disbursement hold and release processing, you can use the Hold/Release process (FAPLCLHR) to determine whether disbursements should be released to your institution or held until your institution requests the funds.

This section provides an overview of the Hold/Release process, lists prerequisites, and discusses how to run the Set Hold/Release process.

Note: Disbursement hold and release processing is an optional business process supported by CommonLine. You must establish agreements with your loan servicers to participate.

The Set Hold/Release Flag process uses equations to evaluate a student's eligibility for loan disbursement and then sets the disbursement to be held or released. Disbursements from loan servicers that do not participate in hold and release processing are not evaluated. The equations evaluate changes in the student's load level and verify their satisfactory academic progress status.

Note: You can modify the delivered equations as necessary or create your own custom equations.

Records are selected for processing by using the run control settings. Using the delivered equations, each disbursement record is evaluated to meet the following criteria:

  • The student's current calculated financial aid load is equal to the financial aid load set at the census date for the term the disbursement is intended.

  • The student has a satisfactory academic progress status of Meets SAP or Probation.

If both conditions are true, the student is considered eligible for disbursement for the term and the disbursement hold/release status is set to R (release disbursement) if it was previously set to H (hold disbursement) on the Loan Orig CommonLine page.

If any condition is false, the student is considered ineligible and status for the disbursements is set to H.

After the system sets the disbursement hold/release status on loan disbursement records, the next time that you run the loan origination process with the adjustments option activated, CommonLine 4 @1-09 Change Transaction records are generated for each disbursement.

To use the CommonLine Hold/Release process, you must:

  • Establish hold and release processing agreements with your loan servicers.

  • Assign a default status of either Hold or Release for each eligible CommonLine 4 loan destination and No Support for nonparticipating loan destinations. The Set Hold/Release Flag process evaluates loan disbursements only when the Disbursement Hold/Release status is set to Hold or Release.

  • If necessary, modify the hold and release equation delivered with the system to add additional eligibility criteria.

Page Name

Definition Name

Navigation

Usage

Hold/Release

RUNCTL_CLHR

select Financial Aid, then select Loans, then select CommonLine Management, then select Process Hold Release, then select Hold/Release

Run the set hold/release process. Establish run control settings and execute the FAPLCLHR COBOL process.

Hold/Release Error Messages

LN_HR_MSG_LOG

select Financial Aid, then select Loans, then select CommonLine Management, then select Review Hold/Release Errors, then select Hold/Release Error Messages

View error messages for each loan disbursement for a selected student. Only messages generated from the most recent execution of the Hold/Release process (FAPLCLHR) can be viewed.

Access the Hold/Release page (select Financial Aid, then select Loans, then select CommonLine Management, then select Process Hold Release, then select Hold/Release).

Image: Hold/Release page

This example illustrates the fields and controls on the Hold/Release page. You can find definitions for the fields and controls later on this page.

Hold/Release page

Field or Control

Definition
Process Name

Select the Process Name equation set that you defined on the Hold/Release Equations setup page.
Hold/Release Option

Select a hold or release option.

Both Hold/Release: Evaluate disbursements currently set to Release and reset to Hold, if ineligible, and evaluate disbursements currently set to Hold and reset to Release, if eligible.

Release: Select to evaluate disbursements currently set to Release and reset to Hold, if ineligible.
From Date and Thru Date

Enter the earliest and latest dates for disbursement that you want to process.

Student Override

Select to activate the ID field. You can then select individual IDs for processing.
ID

When you run the process, the system evaluates only the loan disbursements for the entered IDs that fall within the From Date and Thru Date fields.