Federal Perkins Loans
The Federal Perkins Loan is usually packaged with other forms of aid, such as grants and work study. There are provisions whereby students may be eligible to have the Federal Perkins Loan canceled over a five-year period, i.e., students who work with the handicapped or within a geographic area that is classified by the U.S. Department of Education as a poverty area. For more information, please see www.studentaid.ed.gov.
Application: Students must submit the Free Application for Federal Student Aid. A separate application is not required at the time the Federal Perkins Loan is awarded, however a student will be required to sign a promissory note prior to disbursement of monies.
Deadline: Federal Perkins Loans must be certified by the Office of Financial Aid by the last day of the semester.
Eligibility: Federal Perkins Loan recipients must demonstrate a financial need and be enrolled or accepted as a degree undergraduate student. General eligibility requirements, as previously discussed, must be satisfied by all students to receive Federal Perkins Loan assistance.
Loan Limits per Academic Year: The Federal Perkins Loan ranges from $200 to $4,000 per academic year.
Aggregate Loan Limits: The maximum amount students may borrow in Federal Perkins Loan for their undergraduate academic career is $20,000.
Interest Rate: Federal Perkins Loans are at a fixed rate of 5% - based on current regulations.
Fees: There are no fees associated with the Federal Perkins Loan.
Repayment: Federal Perkins Loan repayment begins when the students graduate, withdraw, or enroll less than half-time (less than six credits) and have used the allowable grace period - usually nine consecutive months. A student may take up to 10 years to repay the loan, depending upon the amount borrowed. Students may also pay the balance of the loan, plus any interest due, early and without a penalty.