Perkins Loans

A limited number of Perkins Loans are awarded through the Financial Assistance Department to any citizen of the United States who is accepted for admission as a full-time or part-time undergraduate student and meets the criteria for loans. A promissory note must be signed by the student, in the Bursar's Office, for each period that a Perkins Loan is granted. Upon graduation or separation from the institution, the promissory notes, repayment schedules, collection and billing procedures are transferred to a contracted billing agency.

General Perkins Loan Information

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 at MSU, the student must:

• be admitted to MSU as a degree-seeking undergraduate student;
• be enrolled full-time (12 or more credit hours each semester)
• be a U.S. citizen or eligible noncitizen;
• demonstrate financial need;
• meet Satisfactory Academic Progress Standards as defined by the MSU Office of Financial Aid;
• not be in default on a federal student loan; and
• not be enrolled in a program leading to a second associate or baccalaureate degree.

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 MSU Office of Financial Aid by the 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 loan.

Promissory Note
Students awarded a Federal Perkins Loan must accept the award via WebSIS; then a Promissory Note will be sent to the student for completion. Students who fail to return the signed promissory note by the deadline may have their loan cancelled for the academic year.

Fees 
There are no fees deducted from each disbursement of a Perkins Loan.

Renewal 
Awards are not automatically renewed. Students must apply annually, meeting the MSU priority filing date, and continue to meet the eligibility requirements listed above.

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, an adjustment may be made to your loan amount

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, an adjustment may be made to your loan amount.

Lender
The Perkins Loan Program is a campus based federal loan administrated by the University. However, the University has contracted with Heartland ECSI to service the loan program. ECSI's contact information is:

ECSI
100 Global View Drive, Suite 800
Warrendale, PA 15086
1.866-927.1438

http://www.heartlandecsi.com/

Exit Interview
A student borrowing a Federal Perkins Loan must have an exit interview before leaving MSU or in the event they register less than half time (less than six credit hours).

Repayment
Completing the exit interview process provides the borrower with important information regarding total loan amount, total interest, payment dates, and payment amounts.  

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:

• In-school Deferment
• Graduate Fellowship Deferment
• Rehabilitation Training
• Seeking Full-time Employment Deferment
• Economic Hardship Deferment
• Concurrent Deferment
• Hardship Deferment (available only for loans made before July 1, 1993)
• Service comparable to the Peace Corps/ACTION Volunteer Deferment
• Temporary Total Disability Deferment
• Internship/Residency Deferment
• Parenting Deferment (available only for loans made before July 1, 1993)

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:

• Teaching Cancellation
• Early Intervention Services Cancellation
• Law Enforcement or Corrections Officer Cancellation
• Nurse or Medical Technician Cancellation
• Child or Family Service Agency Cancellation
• Headstart Cancellation
• Military Cancellation
• Volunteer Service Cancellation

For more information and related forms for the aforementioned item , please visit the loan servicer's web site for borrowers: www.heartlandecsi.com.