Six-figure private loans are no longer the exception. With federal graduate lending programs restructuring and tuition costs continuing to rise at medical, law, and other graduate programs, financial aid offices need a processing infrastructure that can keep up. ScholarNet has built one.
A Known Problem, Now Solved
CommonLine 4 has been the backbone of private loan processing since the early 2000s. When federal programs shifted to direct lending around 2011, development of the format stopped, leaving a $99,999 certification ceiling baked into the system. For most borrowers, that was never an issue, but as the cost of graduate and professional education has continued to climb, that constraint has become increasingly difficult to manage. Financial aid offices, lenders, and originators have had to get creative, often processing these loans outside of their traditional automated workflows.
ScholarNet is committed to a proper fix. Working collaboratively with major lending partners, we identified a path forward within the existing CommonLine 4 specification: the @2 supplemental record. This approach accurately and reliably supports six-digit loan amounts without disrupting the underlying format that every school and lender already relies on — no rewrite, no new system, no workarounds. It is a standards-based solution built for the long term.
Ahead of Schedule
The industry set a July 1, 2026, target for six-digit certification support, in time for schools to certify loans before federal lending changes take effect. ScholarNet is going live in May, ahead of that deadline.
That timing matters. Medical schools and others on non-traditional academic calendars need six-digit private loan certification in place starting July 1, when changes to federal lending programs take effect. ScholarNet’s early launch ensures those institutions are ready from day one.
Phase 2, covering six-digit disbursements and change transactions, is in development, with full end-to-end capability expected well before year-end.
What This Means for Your Office
Six-digit certification support through ScholarNet means:
- Certifying a single loan for the full amount — no more splitting loans exceeding $99,999 into multiple certifications
- Reduced administrative burden and fewer reconciliation errors
- Cleaner, more accurate loan data through your existing ScholarNet workflows
Already Using ScholarNet? You’re Ready.
If your school processes private loans through ScholarNet, you are already positioned to take advantage of six-digit certification support the moment your lending partners are ready — no new system, no new integration, no learning curve.
Your ScholarNet representative and our Care Team can walk you through what to expect and help coordinate with your lending partners.
Ready to learn more?
Contact your ScholarNet representative, reach our Care Team at [email protected], or call 888-686-6919.