Description
Federal Perkins Loans are low interest (5 percent), long-term loans to help pay for your educational expenses. These loans are made to undergraduate and are awarded based on need. No interest is charged while students are enrolled in school on at least a half-time basis.
Eligibility Criteria
To be considered for an award, the student must:
How to Apply
In order to be considered for this loan, students must file the Free Application for Federal Student Aid (FAFSA) and have the results sent to the VCU Office of Financial Aid by the VCU priority filing date, ensuring that information provided on the application is complete and accurate. Failure to resolve any problems with the processing of the application, or delays in resolving the problems, may preclude the student from being considered for this grant.
Award Amounts/Loan Limits
Award amounts are initially offered based on full-year, full-time enrollment and range from $500 to $4,000 for the 2007-08 academic year. Award amounts are prorated for students who enroll less than full-year, full-time. For example, a student with full-year, half-time enrollment will receive a prorated award in the amount of 50% of the original award amount.
Undergraduates may borrow up to $4,000 per year, and graduates may borrow up to $6,000 per year. The maximum aggregate amount an eligible student may now borrow is: (1) $20,000 for an undergraduate student who has completed two academic years and is pursuing a bachelor's degree; (2) $40,000 for a graduate or professional student, including loans borrowed as an undergraduate student; and (3) $8,000 for any student who has not completed two academic years of undergraduate work.
Promissory Note
Students awarded a Federal Perkins Loan will be mailed a loan promissory note. There is no master promissory note for the Federal Perkins Loan. Students must sign their loan note each year they borrow. Students who do not return the signed promissory note by October 1 will have their loan canceled for the academic year.
Fees
There are no fees deducted from each disbursement of a Perkins Loan.
Renewal
Awards cannot be automatically renewed. Students must apply annually, meeting the VCU priority filing date, and continue to meet the eligibility requirements listed above.
Disbursement
Federal regulations require two disbursements of all Federal Perkins Loans. The first disbursement should be made during the first week of classes provided that the VCU Office of Financial Aid has received confirmation of the loan, that all documents have been received, and that there are no changes in expected enrollment status. The second disbursement should be made during the first week of classes at the beginning of the second semester for fall/spring loans, provided there are no changes in expected enrollment status.
Changes in Enrollment Status
If you use your loan to pay your university charges (tuition, fees, room, and board) and during the drop period you reduce the number of credit hours in which you are enrolled to less than full-time, any refund due from this reduction in charges may go to repay your loan.
If you use your loan to pay your university charges (tuition, fees, room, and board) and you withdraw from all of your classes or drop below half-time, any refund may go to repay your loan.
Lender
The lender for the Perkins Loan Program is Virginia Commonwealth University. The contact information is:
Virginia Commonwealth University
Treasury Services Department
Perkins Loan Unit
327 W. Main Street
Richmond, VA 23284
(804) 828-4538
Web: http://www.vcu.edu/treasury/lserver.htm
Loan Servicer
VCU's loan servicer for the Perkins Loan Program is Campus Partners. The contact information is:
Campus Partners
P.O. Box 2902
Winston Salem, NC 27102-2902
Telephone: 1-800-458-4492
Web: http://www.campuspartners.com/
Exit Interview
A student borrowing a Federal Perkins Loan must have an exit interview before leaving VCU or in the event they register less than half time (less than six credit hours).
Repayment
If you have an outstanding principal or interest owing on any Federal Perkins/NDSL Loan prior to July 1, 1987, you begin paying six months after you graduate, leave school, or drop below half-time status. If you are a new Federal Perkins Loan borrower who has no previous outstanding principal or interest owing on any loan as of July 1, 1987, you begin repayment nine months after you graduate, leave school, or drop below half-time status. You may be allowed up to 10 years to repay your loan. The amount of your payment depends on the size of your debt, but usually you must pay at least $30 per month.
Default
If you fail to make a scheduled payment when due, the school will declare your Federal Perkins Loan to be in default. You must submit a deferment and/or forbearance request on or before the due date of your scheduled payment. If you default on a Federal Perkins Loan and the school is unable to collect, it will harm your credit rating and the federal government may take action to recover the loan. You cannot receive further financial aid if you are in default status.
Deferment
Certain conditions may make you eligible to apply for a deferment of your Federal Perkins Loan. Deferment options include:
Details about deferment options (pdf).
Cancellation of Loan Repayment
There are cases where your loan will be canceled-for example, if you die or become totally and permanently disabled. Other conditions are listed below:
Details about cancellation options (pdf).
The deadline to submit a request for a FALL ONLY Federal Direct Loan is November 20, 2009 with the following exceptions.
| Group | Last Date |
| D1, D2, D3, D4, P4, PAC/MS | December 3, 2009 |
| DEH Jr, DEH Sr, D.5 | December 3, 2009 |
| M3, M4 | December 3, 2009 |
| D5, D6, D7 | December 10, 2009 |
| M1, M2 | December 10, 2009 |
The request must be received in the Loan Area by the dates specified. Please contact your counselor if you have any questions.
