Beginning Jan 1, 1999, ECSI will be utilizing the services of the National Student Loan Clearinghouse (NSLC) for deferment processing. The interface between ECSI and NSLC works as follows:

ECSI sends a file of all borrowers in grace and repayment to NSLC. NSLC then compares their database (which consists of 80% of all schools in the U.S.) against the ECSI database, anyone registered at another school will be added to an interface file which will be transmitted back to ECSI. ECSI then creates a letter, stating where the student is now attending, what their current status is (full-time, half-time, leave of absence), when they are expected to graduate and reminds them they are eligible for a deferment if they sign and return this letter to ECSI. We will also create a collection memo stating which school they attend, their status, and expected graduation date. Any borrower that withdrawals from school or falls below "half-time status" will be corrected by ECSI Account Representatives. ECSI will also create and provide each school with a report, in detail, showing who was effected by this interface. This service is being provided free of charge. ECSI predicts that this new interface will greatly reduce both delinquency and late filing of deferment forms.