Federal Perkins Loan Disclosure Statement
You are eligible to receive Federal Perkins Loan funds through September 30, 2017 under the Federal Perkins Loan Program Extension Act of 2015. Absent Congressional action to reauthorize the Federal Perkins Loan Program, the program will expire on 9/30/2017. Federal Perkins Loan disbursements are now subject to the following terms and conditions of the Extension Act:
To be eligible to receive a Perkins Loan, you must have been awarded the maximum annual Direct Subsidized Loan and in certain cases the maximum annual Direct Unsubsidized Loan for which you are eligible. An undergraduate student who is awarded a Direct Subsidized Loan and/or a Direct Unsubsidized Loan can decline one or both of the loans (or request a lesser amount). However, the student’s Direct Loan eligibility amounts must be included in the calculation of the undergraduate student’s Perkins Loan amount, regardless of whether they actually borrow that full amount. The Federal Perkins Loan program has varying loan limits depending on your year in school, dependency status, and amount awarded by the institution. Limits for undergraduates are $5,500 per year with a maximum of $27,500.
If an eligible undergraduate student borrower receives a disbursement of a Perkins Loan after June 30, 2017, and before October 1, 2017 for the 2017-2018 award year, the student may receive any subsequent disbursements of that Perkins Loan.
Direct Subsidized and Unsubsidized loans have varying loan limits depending on your year in school, dependency status, and amount awarded by the institution. In general aggregate loan limits are $31,000 for dependent students and $57,500 for independent students. Learn more about loan limits between subsidized and unsubsidized loans. For loans disbursed on or after July 1, 2016 and before July 1, 2017 the interest rate comparison is:
|Loan Program||Interest Rate||Degree Level|
|Subsidized Direct Loan||3.76%||Undergraduate|
|Unsubsidized Direct Loan||3.76%||Undergraduate|
|Federal Perkins Loan||5.00%||Undergraduate and Graduate|