Borrower Defense Claims Processing
Over the past five years, roughly 350,000 students have attended programs at for-profit higher education group Corinthian Colleges. The Department of Education found that as many as 75% of those students were misled into enrolling—and taking out federal student loans—with false promises of post-graduation job placement.
Employing a rule from the Higher Education Act, Federal Student Aid enabled these Corinthian students to apply for relief from their related federal student loans. Undersecretary Ted Mitchell asked ED’s Digital Service team to evaluate the system and recommend improvements.
Create measurement framework
Improve the digital submission process
Build lightweight claim management tool
Automatically submit claims
Not enough people submit claims
180,000 unfiled claims; millions more expected
Adjudication is laborious
Every claim requires human touch
49,000 unreviewed claims; many sent back for more info
Improve data acquisition
Our EDDS Team assisted the Borrower Defense team by building a lightweight claim review process, whereby the legal review team is using the same data as the intake and discharge team. We Created a measurement framework using the above-mentioned SQL database as a single source of truth.
I lead the research and design of a universal online form for any student from any school to build a claim against any school they felt did not live up to their documented educational and job placement promises.
Our user-tested online form wizard leads to faster intake & processing and more reliable data.
Our user segmentation:
Borrowers that fulfill one or more of the following criterias:
Attended one of the Corinthian Colleges’ Campuses or Programs
Believe they were misled by one or more of the following situations:
Under-served by school quality of education
Misled about job placement rates
Pressured to sign-up for school program
User Story: Discernment and emotions about School Experience
Commonalities among users
Not aware of BD Program
Students accepted into the school/program without passing minimal requirements
Students passing classes w/out meeting the minimal requirements
Financial hardship due to Student Loans affected many other aspects of their lives
Commonalities filling out the form
Access to transcript is unknown - for schools that closed down
No access to digital documentation - not everyone had digital and/or physical copies of their transcripts
No clear understanding of what documents would help borrower build a case
Language of form needed to be simplified