Online Application and Signature Process

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Online Application and Signature Process

• NCHELP Summer Institute - E-Initiatives Session
• Buffalo, NY
• July 17, 2002

Presented by Gautam Borooah, VP Director,
E-Commerce Citibank Student Loans
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Online Application and Signature Process

• With Citibanks online loan application and
  signature system, borrowers benefit from
• A paperless environment
• 5 minute credit decisions for PLUS and CitiAssist
  Loans
• Convenience of 24 hour accessibility
• Error free applications brought about by online
  edits
• Quicker processing
• If the school supports E-sign, applicants can
  complete and sign their MPN or application
  online.
• Alternatively, applicants can download and print
  their MPN or application directly from the
  Internet or request fulfillment to wet sign it.
  

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Online Application and Signature Process

• After registering or logging in with the same
  secure process that our website, studentloan.com
  utilizes today, the borrower applies using either
  Stafford, PLUS or CitiAssist Online.

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Online Application and Signature Process

• After submitting their loan applications,
  customers can check the status of their
• loan applications and accounts on Online Account
  Access.

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Online Application and Signature Process

• Citibanks E-sign process for Stafford and PLUS
  Loans was launched on January 11, 2002.
• We present the applicant with the option to use
  the SFA PIN process as well as the Citibank
  real-time process to confirm their identity.
• NO PIN REQUIRED!!!
• While some processes do not require a PIN,
  Citibanks process
• accommodates BOTH borrowers who do have an SFA
  PIN and those who
• do not. If a borrower does not have an SFA PIN,
  s/he is given the option to sign online using the
  Citibank real-time process

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Online Application and Signature Process

• The E-sign process for CitiAssist Loans was
  launched on May 1.
• Customers can use the Citibank real-time process
  to confirm their identity.
• Currently, almost 60 of our Stafford, 20 of our
  PLUS and 40 of our CitiAssist Loan online
  applications are being e-signed by our customers.
• We have received over 6,000 e-signed loan
  applications to date and are currently receiving
  over 150 e-signed applications a day.

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Online Application and Signature Process

• Stafford Loans
• 64 utilized the SFA process.
• 36 signed using the Citibank real-time process.
• PLUS Loans
• 43 utilized the SFA process.
• 57 signed using the Citibank real-time process.

What processes do our customers use?
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Online Application and Signature Process
How Do We Minimize Risk?

• In addition to safeguards built into the paper
  application process, we
• Comply with the standards established by the
  Department of Education for e-signatures. Both
  the SFA process as well as our real-time process
  meet Safe Harbor guidelines established by the
  Department.
• Citibank offers the best of both worlds. Our
  process is comprehensive and secure, but is
  simple to use and presents borrowers and schools
  with a choice.

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Online Application and Signature Process

• Our Learnings
• Products that require one individuals signature
  have higher usage of the e-sign process over
  those that require more than one individual to
  sign.
• Customers find the process easy and like the ease
  of a paperless process.
• Our research shows that most customers prefer
  having a robust customer identity verification
  process.
• Third party verification databases need to have
  up-to-date information. If customers cannot
  e-sign because of data mismatches, it can cause
  customer dissatisfaction.

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Online Application and Signature Process

• Whats Next?
• (1) Loan Consolidation
• Online Loan Consolidation application with the
  ability to e-sign an application.
• (2) Deferments and Forbearances
• Online submission of e-signed deferment and
  forbearance requests. Requests
• can go into queues to be immediately processed
  once supporting documentation
• is received.
• LESS PAPER!!!

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Online Application and Signature Process

• Potential Improvements
• (1) Real-time SFA PIN
• If an applicant loses or forgets their PIN, the
  current process of requesting
• one be sent by mail or e-mail is time consuming
  and can be a barrier to e-signing.
• (2) SFA PIN for Private Loans
• This would standardize the process across both
  FFELP and private student loans
• and make it easier for the consumer.