Financial Value Transparency & Gainful Employment FVT GE FAQs Compliance Central

These bachelor’s degree programs in the liberal arts offered by proprietary institutions are Eligible Non-GE Programs, but are not GE Programs. Eligible Non-GE Programs financial transparency include all Title IV eligible programs, including degree programs, at public, private non-profit, and proprietary institutions, with the exceptions described above. The Department has delineated an implementation strategy that includes the provision of policy guidance, reporting guidelines and educational webinars.

• The Final Rule delays, however, the requirement for student acknowledgements of non-GE programs having “high debt burden” and “low earnings” designations until 2026.
• Department of Education (the Department) is announcing updated deadlines to report required information under the Financial Value Transparency and Gainful Employment (FVT/GE) rules.
• For students who have graduated or withdrawn as of the end of the prior award year, cumulative data for a student’s entire time in the program should be reported.
• The Department hopes that, irrespective of these challenges and this seven-month extension, institutions will continue gathering the requisite data between now and September 30, 2025 and report such data when available.
• If a current or prospective student receives a warning but does not seek to enroll until more than 12 months afterward, the institution must again provide the warning unless the program has since passed both the D/E rates and EP measure for the two most recent consecutive years the metrics were calculated.
• In their final form, these regulations require that in order to maintain participation in federal student financial aid programs under Title IV of the Higher Education Act (Title IV), any GE program must meet both a debt-to-earnings (D/E) rate measure and also an earnings premium (EP) benchmark.

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The Department of Education (ED) will use these reports in the following ways, which could Insurance Accounting affect student financial aid and enrollment at your institution. The specific warning language will be composed by ED, and further will be administered through an ED website. The institution would be prohibited from disbursing Title IV funds to students in pertinent GE programs until and unless the student acknowledges the program’s potential future loss of eligibility.

What automated email alerts will be sent during the Completers List process?

• Yes, the Clearinghouse secure site maintains data your institution submitted to the Clearinghouse and that we sent to NSLDS for FVT/GE reporting.
• Therefore, institutions must report specific information for each student who received Title IV funds for enrollment in a GE or an Eligible Non-GE Program during an award year.
• The Final Rule states that ED expects to publish metrics for the first measurement year in “early 2025,” and confirmed that the earliest loss of Title IV eligibility for GE programs would occur in 2026.
• This will ensure the updates are available for the NSLDS SSCR enrollment reporting roster distribution process, in addition to your FVT/GE Draft Completers List.

If at least one of the eligible programs within a GE or Eligible Non-GE Program is not programmatically accredited, you should report “No” for the Programmatically Accredited Indicator for that program. In that situation, the institution should report all students as having “Out-of-State Tuition (OS)”. The institution would report the student as currently enrolled if recording transactions the student was enrolled at the end of the award year. The program as described is neither a GE Program nor an Eligible Non-GE Program that the institution is required to report on. Only Title IV-eligible programs and, in some cases, previously-eligible programs are subject to the statutory and regulatory FVT/GE requirements. With some nuance, noted below, initial Financial Value Transparency reporting is due July 31, 2024.

Timeline of Financial Value Transparency and Gainful Employment Reporting Requirements (Updated Sept. 16,

The high compliance costs and complex regulatory requirements can hinder financial access for smaller firms. However, digital innovations like eKYC offer promising solutions to streamline these processes, reducing the burden on both financial institutions and SMEs. In low-income economies, 40% of SMEs report major or severe obstacles to finance—twice the rate of large firms.The data also reveal how CDD regulations incorporate AML/CFT risk factors – that are based on FATF recommendations – across economies.

What roles does a school user need to address the Graduated Status Reconciliation Report?

• Requirements for acknowledgements and warnings, and the establishment of the Department’s disclosure website, are effective July 1, 2026.
• After confirming with institutions the “completer list” for each educational program cohort (differentiated by using six-digit CIP codes), ED will obtain from a still-unspecified federal agency the “median annual earnings” of the completing cohort.
• Make sure you visit the FVT/GE page on Compliance Central for convenient access to all our resources on signing up for, activating, and using our FVT/GE reporting solution.
• If a student received Title IV aid for Program A but, not for Program B, include that student in reporting for Program A, but not in reporting for Program B.
• They also provide the most detailed information ever available about what students and families can anticipate paying for college and the financial outcomes they can expect to achieve.
• We’ve been providing higher education institutions with tools for complying with federal reporting requirements since the 1990s, giving us deep and unprecedented experience in crafting solutions that meet the needs of both institutions and regulators.

As indicated above, because the D/E rates and EP figures are used to determine not only the continued eligibility of GE programs, but also the relative debt burden of all programs under the FVT transparency initiative, ED will calculate such rates for both GE and non-GE programs. Institutions must report — and ED also will include in its determination of a program’s “median annual loan payment” — private education loans incurred for enrollment in the program and any other amounts owed by program completers (including any institutional extensions of credit or unpaid institutional charges). Any institutional grants and scholarships not requiring repayment, however, are excluded. The amortization period applied to a student’s debt depends on the credential level of the program (as was true in the 2014 rule), and the interest rate applied to the calculation would be a specified three-year or six-year average also based on credential level.

This model can adapt more readily to evolving regulations and the way they affect your institution’s compliance and reporting needs. We’ve been providing higher education institutions with tools for complying with federal reporting requirements since the 1990s, giving us deep and unprecedented experience in crafting solutions that meet the needs of both institutions and regulators. After the required student level and program level reports are submitted to NSLDS, we’ll notify you if you need to take any action based on responses from NSLDS. We will also track each step of the process to ensure its completion and the ability to readily respond to audit requests.

Student Cohort Reports

However, eKYC leverages digitalization, authentication technologies, and APIs to automate these procedures, enabling financial institutions to conduct identity verification remotely and more efficiently. For eKYC to be viable, regulatory frameworks must permit financial institutions to perform CDD without requiring physical document exchanges.Among the 45 economies with available data, 29 have commercial lenders that rely on it for conducting CDD. Adoption rates increase with income levels—only 2 out of 5 low-income economies use eKYC, compared to 11 out of 12 high-income economies (Figure 3). This adjusted timeline allows institutions to focus their efforts on getting aid to students this spring and to have more time to compile data that would otherwise have been required by the end of July. At the same time, the Department still intends to produce the first official round of FVT/GE metrics in early 2025.

• Once your service is activated, our Clearinghouse Activations team will instruct you on how to request an ad hoc Completers list.
• However, digital innovations like eKYC offer promising solutions to streamline these processes, reducing the burden on both financial institutions and SMEs.
• If a GE program fails either (1) both D/E rate calculations, or (2) the EP measure, in any “two out of three consecutive award years” for which such rates are calculated, it becomes ineligible for Title IV financial aid.
• In order for a user with access to update this list, the Financial Aid Officer role and Submission Data or Submission Data Alternate roles are needed.
• The material contained in this communication should not be relied upon or used without consulting a lawyer to consider your specific circumstances.
• These Frequently Asked Questions (FAQs) provide information and operational guidance on the requirements of the new Financial Value Transparency and Gainful Employment (FVT/GE) regulations.

Institutions are also required to list individual programs by CIP on their Application for Approval to Participate in Federal Student Financial Aid Programs (E-App). There may be students on the Draft Completers List who do not have a corresponding Graduated (G) enrollment status in the Clearinghouse database. You can indicate which of these students you would like the Clearinghouse to submit to NSLDS on your institution’s behalf using the Completers Adds process that will be part of the Clearinghouse’s FVT/GE reporting solution. If you sign up for the Clearinghouse’s FVT/GE reporting solution, you should not follow the NSLDS SAIG instructions. The Clearinghouse is working directly with Central Processing System (CPS) for SAIG to finalize the TG mailbox designation for institutions participating in Clearinghouse FVT/GE. This includes our enrolling your institution in FVT/GE reporting if your institution is already enrolled in the Clearinghouse’s NSLDS batch service for enrollment reporting.

Annual Earnings

NSLDS will send your Draft Completers List (the list of students who completed your programs) to the Clearinghouse, which will validate the data. Your institution can then use  our secure site to access and update this list, as necessary — before we provide your updated list to NSLDS. This feature will ensure that your institution’s reporting is as up-to-date and accurate as possible.