Federal Perkins Student Loans - an introduction
Federal Perkins student loans are educational loans made by participating Schools to students enrolled full-time or part-time in undergraduate, graduate and professional degree programs. These loans are need based and have low fixed interest rates.
Some of the Federal Perkins Loans features:
- Need based, Low interest rate (fixed 5%)
- Lender is your School using government funds
- Undergraduate, Graduate and Professional students (full or part-time)
- Up to 10 years to repay (may depend on total amount owed)
Perkins Student Loan Details
Interest Rate Details, Fees and Repayment:
Currently, Federal Perkins Loans have a fixed interest rate of 5%. There are no additional fees charged for Perkins loan to apply for and obtain the loan. There may be fees/additional costs for late or collection accounts.
Repayment of Perkins loans begins 9 months after graduation, leaving school or drop below half-time status. The grace period may be different for students who drop below half-time status (check with your School's Financial Aid Office). During the grace period no interest is charged on Perkins loans.
Maximum Loan Amounts:
- Undergraduate Student: $4,000/yr | $20,000 max. undergraduate
- Graduate Student: $6,000/yr | $40,000 max. including undergraduate
- Professional Student: $6,000/yr | $40,000 max. including undergraduate
How to get a Perkins Student Loan
Steps to obtaining a Perkins Loan:
- Obtain Federal Student Aid PIN @ http://www.pin.ed.gov
- Complete FAFSA (Free Application for Student Aid) @ http://www.fasfa.ed.gov
- List the Schools you want to attend on FAFSA application (up to 6)
- Your FAFSA is processed, generating a summary call a "SAR" (Student Aid Report)
- Your SAR is sent to schools you listed on your FAFSA (copy sent to you as well)
- Schools process your SAR and send you an "Award Letter" listing specific financial aid that school is offering you, including a Perkins Loan if your qualify.