The Federal Student Aid Feedback System has been launched by the United States Department of Education this month. It is the first step towards optimizing the overall Federal Student Aid process which has been under fire for inefficiency. It was part of an executive objective from the Student Aid Bill of Rights from 2015. One of the main goals is to improve student loan servicing.
Many different government programs receive heat for lack of consistency, inefficiency, and more. These problems seem to compound for governmental technology, online websites, and user interfaces. The government has fallen behind the private sector considerably in this area. The Federal Student Aid Feedback System is a way to combat these issues for the Federal Student Aid programs.
The feedback system consists of an online portal that people can access at any time of the day. If a federal applicant has a problem with the aid process, then they can access this portal to provide a complaint. Any and all feedback including positive comments or negative complaints can be submitted. These comments can be made about a number of aspects of the aid program. The Department of Education, federal loan servicers, collection agencies, and all associated websites can be reviewed in some manner on this feedback website.
Improving the federal student aid program is not such a bad idea when considering its scope. The previous year, the program serviced over 12 million students. Overall, the federal government services over 90% of outstanding student loans which means it encompasses a large sum of debt. The collected information is to be shared with the Consumer Financial Protection Bureau and the Federal Trade Commission’s Consumer Sentinel Network. These two bodies are meant to aid in problem resolution when the Department of Education cannot partake (such as complaints about the department itself).
The end result of this program is sure to be interesting. The effectiveness of the new portal cannot be surmised until some relevant data is collected. This data is to be published by the Department of Education around Autumn this year. At any rate, the intentions are admirable. The Department simply wishes to improve the current system to help mediate the overall student loan servicing process.