5.4 Title IV Loan Counseling | KCTCS

5.4 Title IV Loan Counseling

Entrance Counseling guides the KCTCS student borrower through the Direct Loan process and explains their rights and responsibilities as a Direct Loan borrower. If the student has not previously received a Direct Loan, Federal Family Education Loan (FFEL), or Supplemental Loans to Students (SLS) Loan, the Federal Government requires that they complete loan counseling to ensure they understand the responsibilities and obligations they are assuming as a Direct Loan borrower. In addition, all KCTCS Direct Loan student borrowers must undergo exit counseling shortly before the borrower ceases at least half-time enrollment at a KCTCS college.

5.4.1 Entrance Counseling

If students are first time borrowers, they must complete Loan Entrance Counseling. Currently students are encouraged to use the counseling provided at https://studentaid.gov. The Department of Education/COD provides a report of students who have completed entrance counseling on their site which is uploaded into our system daily. Loans will not be disbursed until Loan Entrance Counseling is completed.

5.4.2 Exit Counseling

As loan borrowers exit college, whether by graduation, withdrawal, or non-returning, colleges are required to notify them of their requirement to complete exit loan counseling within 30 days. This is accomplished through an automated process by the System Office. Students are notified first via an email notification to complete this session at https://studentaid.gov.

The Department of Education/COD/NSLDS provides a report of students who have completed exit counseling which is uploaded into the KCTCS data system. For those students who do not respond, a second email is sent. After the second email is sent, the System Office sends a third email with an attached Exit Counseling Packet and marks the exit counseling complete.