Perkins Loan Originator School
When you have worked out your student financial aid program you have to consider your gift aid as well as loans. The gift aid is quite helpful and it allows you to focus on the out of pocket expense that is your college education. There are plenty of financial aid programs, but when you have exhausted the primary ones or do not qualify for some, there are other programs available. The loan originator in your school, also known as the loan processor, can walk you through the process for non-need based loans. The most popular among federal loans is the Perkins loan.
About Perkins Loans
The loan originator at your school will tell you that Perkins loans are low interest undergraduate or graduate loans for education. The funds come directly from the Department of Education and the loans are repaid to the college. Perkins loans are low interest, need based supplemental loans that are generally subsidized. You have to renew this loan annually. The loan originator will review your status to determine your eligibility for renewal. Some features of the Perkins loan, according to the loan originator at school, include:
- Low interest rate
- No origination or guarantee fee
- No need to make payments until after the grace period or when you drop below half time status
- Deferment and forbearance options
- Ten year repayment period
- Possible loan cancellations for such professions as teaching and nursing
- Loan consolidation is a possibility and they can be consolidated with other federal student loans
Eligibility for Perkins Loan
Eligibility for loans is variable so you will have to check with the loan originator in your school to determine whether or not you qualify for a Perkins loan. The criteria for this loan include:
- Enrollment in an eligible program
- US citizenship or eligible permanent residency status
- Satisfactory academic progress (with a GPA limit set)
- No outstanding defaults
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