Federal Perkins Loans are awarded through the college financial aid office and are need-based federal loans. Perkins loans are typically awarded to the highest need students as funding levels are not as robust as other federal programs. This loan program offers a 5% fixed interest rate, zero fees, a nine month grace period, and a ten year repayment term. Although this is a federal loan program, student borrowers pay back their college directly for the loan plus any interest (interest does not begin to accrue on this loan until the borrower enters the repayment period). This loan is in the student’s name thus the student is fully responsible for repaying the loan.
Federal Perkins Loan Borrowing Limits
|Annual Award Limits for Federal Perkins Loans are up to $5,500 per student for undergraduate students; however, award parameters are based on federal guidelines, college funding levels, and institutional awarding guidelines. Because funding allocations for this program are limited, not all students are awarded this program and those that are may not receive the maximum allowed.For information on Federal Perkins Loan repayment and repayment examples, please click here.|
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