Frequently Asked Questions Regarding The Perkins Loan

1. Who should I contact if I have questions pertaining to my Perkins Loan?
2. What are my rights as a borrower?
3. What are my responsibilities as a borrower?
4. Is there a charge for this loan?
5. When do I pay back this loan?
6. What happens if I don't pay back my loan?
7. How much will I have to repay each month?
8. I have continued my education at another University/College. Can I defer my repayment?
9. Can I postpone repayment of my Federal Perkins Loan?
10. Can my Federal Perkins Loan debt be canceled?

1. Who should I contact if I have questions pertaining to my Perkins Loan?

If you have questions regarding your Federal Perkins Loan while you are attending Lesley University, you should contact the Office of Financial Aid at 617.349.8581 or email finaid@lesley.edu. Questions during repayment should be directed to our Perkins Loan servicing agent, ACS-Inc. You can reach ACS via the telephone at 800.826.4470 or via the web at www.acs-education.com.

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2. What are my rights as a borrower?

• You may repay all or part of the loan(s) at any time without penalty.
• You will have a grace period after graduation or withdrawing from Lesley University.
• You may defer payments, if eligible.
• You may cancel all or part of the loan, if eligible.

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3. What are my responsibilities as a borrower?

• You must make payments on time or notify the Student Accounts Office at Lesley University if a payment cannot be made by the due date.
• You must notify ACS of any changes in your name, address, phone number, Social security Number, or enrollment status.
• You must file appropriate forms, such as deferment or cancellation, in a timely manner.
• You must understand that failure to repay your Perkins Loan will have serious consequences, such as:

 

• Referral to a collection agency.
• Reporting of the past due status of your loan to a national credit bureau.
• Loss of eligibility for deferment or cancellation benefits.
• Loss of eligibility for further Federal financial aid.
• Placing a hold on registration and academic transcripts.

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4. Is there a charge for this loan?

A Perkins Loan borrower is not charged any fees to take out the loan. However, if you skip a payment, make a late payment, or make less than the full payment, late payment fees will be applied to your loan while in repayment. Failure to make payments in a timely manner will result in the referral to a collection agency at which time additional collection costs will be added to the payoff balance on the loan.

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5. When do I pay back this loan?

You have nine months after you graduate, leave school, or drop below half time status before you must begin repayment.  This is called a grace period.  At the end of your grace period, you must begin repayment of your loan.  You will be contacted by our loan servicer as your grace period is ending to inform you of your first expected payment date.  You may be allowed up to 10 years to repay this loan.

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6. What happens if I don't pay back my loan?

If you default on a Federal Perkins Loan and the school is unable to collect, it will harm your credit rating, be referred to a collection agency incurring addition collection/legal expenses, and the federal government may take action to recover the loan. 

You cannot receive further financial aid if you are in default status.

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7. How much will I have to repay each month?

Your monthly payment amount will depend on the size of your debt and the length of your repayment period.  Borrower's can log into ACS borrower services to access a repayment calculator.  This site can be reached at www.acs-education.com.  To access the calculator, click on the Info Center on the left hand tabs and select repayment calculator.

If you have not already established an account, you must register a user name and password.  Once your account is established ACS offers many services to the borrower to assist them during repayment. 

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8. I have continued my education at another University/College, can I defer my repayment?

Yes, a borrower may defer repayment of a Perkins Loan is s/he is enrolled at least half time in an eligible school.  The deferment is unlimited and is provided for all NDSL/Perkins student loans.  The deferment must be requested for each term of enrollment. In-School Deferment forms can be obtained by ACS, Perkins Loan Servicing Agent at www.acs-education.com.

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9. Can I postpone repayment of my Federal Perkins Loan?

Yes.  Under certain conditions, you may qualify for a deferment or forbearance on your loan.  During a deferment, you are allowed to temporarily postpone payment on your loan without the accrual of any interest. (In-School Deferment)

Deferments are not automatic.  Deferment requests are available on the ACS website at www.acs-education.com.  You must file your deferment requests on time or you will be responsible for late fees, accrued interest and back payments.  You must continue making scheduled payments until you receive notification that the deferment has been granted.

If you have a Federal Perkins Loan that was first disbursed after July 1, 1993, you may be eligible for a deferment under one of the following circumstances:

• At least half time at a postsecondary school
• Study in an approved graduate or postgraduate fellowship-supported program or in an approved rehabilitation training program for the disabled
• Unable to find employment (deferment up to 3 years)
• Economic hardship (deferment up to 3 years)
• Engaged in service in one of the following areas:
• • Full-time teacher in a designated elementary or secondary school serving students from low income families
  • Full-time special education teacher-includes teaching children with disabilities in a public or other nonprofit elementary or secondary school
  • Full-time qualified professional provider of early intervention services for the disabled
  • Full-time teacher of math, science, foreign languages, bilingual education, or in other fields designated as teacher shortage areas
  • Full-time employee of a public or nonprofit child or family service agency providing services to high-risk children and their families from low-income communities
  • Full-time nurse or medical technician
  • Service as a full-time law enforcement or corrections officer
  • Service as a VISTA or Peace Corps Volunteer
  • Service in the Armed Forces

If you have a Federal Perkins Loan that was disbursed before July 1, 1993, you should check your promissory note for deferments that may apply to that loan. 

Forbearance:

If you are temporarily unable to meet your repayment schedule but are not eligible for a deferment, you may qualify for a forbearance.  A forbearance may be granted for up to three years, renewing annually during this time.  During forbearance, interest continues to accrue and payment of the interest may be required.  Interest payments will be requested before renewing a granted forbearance.    Forbearance is not automatic.  The borrower must complete a request for forbearance that can be obtained by the Student Accounts Office.  You must continue to make scheduled payments until you are notified that your forbearance has been granted.

Unemployment Deferment:

Borrowers are eligible for 3 years of deferment if the borrower is unable to secure full time employment.  The following documentation is required:

• Documentation of unemployment
• Documentation of attempts to secure employment

Economic Hardship Deferment:

A borrower is entitled to an economic hardship deferment for periods of up to one year at time, not to exceed three years cumulatively, as long as the borrower provides the school with satisfactory documentation showing the s/he is within any of the following categories:

1. Has been granted an economic hardship deferment for either a Stafford or PLUS Loan for the same period of time for which the Perkins Loan deferment has been requested;
2. Is receiving federal or state public assistance, such as Temporary Assistance to Needy Families, Supplemental Security Income, Food Stamps or state general public assistance;
3. Is working full time and is earning a total monthly gross income below the poverty line;
4. Is not receiving total monthly gross income this is more than twice the amount in item 3 above and that income minus an amount equal to the borrower's monthly payments on federal postsecondary education loans does not exceed the amount specified in item 3 above.

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10. Can my Federal Perkins Loan debt be canceled?

Yes, if the borrower dies or becomes totally and permanently disabled, the loan can be canceled.  A loan, depending on when it was first disbursed, may also qualify for UP TO 100% cancellation under the following conditions:

• Full-time teacher in a designated elementary or secondary school serving students from low income families
• Full-time special education teacher - includes teaching children with disabilities in a public or other nonprofit elementary or secondary school
• Full-time qualified professional provider of early intervention services for the disabled
• Full-time teacher of math, science, foreign languages, bilingual education, or in other fields designated as teacher shortage areas
• Full-time employee of a public or nonprofit child or family service agency providing services to high-risk children and their families from low-income communities
• Full-time nurse or medical technician
• Service as a full-time law enforcement or corrections officer
• Service as a VISTA or Peace Corps Volunteer
• Service in the Armed Forces

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