direct lending how to improve implementation.pdf

Direct Lending: How to Improve Implementation Dr. Keith Jepsen Prepared under contract to the National Commission on Responsibilities for Financing Postsecondary Education March 22, 1993 About the Contractor Keith Jepsen, Adjunct Associate Professor of Higher Education at New York University (the largest private university in the U.S.), is currently teaching the NYU graduate course in Financing Higher Education. He has also been NYUs Director of Financial Aid since 1989, arriving after 8 years with the Illinois guarantee agency where he was chief operating officer, and 9 years with ACT, where he was AVP and Director of Operations, responsible among other duties for the department which implemented what is now called the Central Processing System for all Title IV federal student aid. Over the course of several years Jepsen also consulted for a major lender which he helped decide to enter the student loan business. It became the second largest student loan lender for Illinois. His nearly 30 years in student aid delivery at the national, state and university levels make him uniquely suited to comment on direct lending. The views expressed in this paper are the personal views of the contractor and are focused on the contracted task, implementation of direct lending, not whether there should be direct lending. The paper does not represent, nor should it be construed as, the position of NYU nor of any person or organization consulted in the course of its writing. The contractor wishes to thank Pam Arch, Bill Banks, Stephen Blair, Lynne Brown, Doug Bucher, Bob Butler, Tom Butts, George Chin, John Curtice, Chad Dore, Fred Eckert, Ken Fauerbach, David Finney, Kathleen Fonseca, Betsy Hicks, Kay Jacks, Peter Keitel, Dallas Martin, Joe McCormick, David McDermott, Jim Miller, Scott Miller, Steven Mo