Federal Carl Perkins Loan
Source of Funds: Federal Government and Central Connecticut State University
Loan Amounts Annual Maximum: Depends on financial need as calculated by the Financial Aid Office. Maximum award is usually $2,000. Up to $4,000 may be awarded on an exception basis.
The student must meet the following requirements for eligibility:
1. Be a U.S. citizen or eligible non-citizen.
2. Have financial need as determined by the FAFSA.
3. Be matriculated at CCSU which means being admitted and enrolled in a degree program.
4. Enrolled at least 6 credit hours each semester.
5. Be in good academic standing with the University and with the Financial Aid Satisfactory Academic Progress (SAP) policy
Perkins selection criteria
When awarding Perkins Loans, riority is given to those students with exceptional financial need, as defined by Pell eligibility.
Before a Federal Perkins Loan may be awarded to a student the student's Pell Grant eligibility must be determined.
Steps to apply for a Federal Perkins Loan
File the Free Application for Federal Student Aid (FAFSA) at www.fafsa.ed.gov (this is a requirement) by the priority deadline for consideration and submit all documents requested by the Financial Aid Office. Check for required documents via the online Financial Aid Self Service system at Central Pipeline for Students. This award is based on level of financial need as determined by the FAFSA.
The Financial Aid Office will send the student an Award Notice that the borrower can use to determine loan period, the type of eligibility, and the amount of eligibility.
The borrower needs to determine how much they want to borrow and will have the option to accept the full amount offered or reduce the loan amount at Central Pipeline for Students.
The borrower must also complete a Master Promissory Note (MPN) at www.signmyloan.com.
Perkins loan funds are processed electronically through the CCSU Bursar. Funds are applied first to fees, then to any housing costs (if the Bursar bills for housing). Any remaining Perkins funds are sent to the student via paper check or direct deposit.
Loan Deadline: Perkins Loans may be processed if accepted within 45 days of the start of the fall semester.
Aggregate Maximums: Undergraduate -- $20,000 Graduate -- $40,000
Minimum Credit Hours Per Semester: Undergraduate -- 6 Graduate -- 6
Cosigner Required?: No.
Rate of Interest: 5% Annually on declining balance
Origination/Insurance Fees: None.
Repayment: $40 minimum monthly payment. Larger amount may be required, if necessary, to repay loan within time limit.
Early Repayment Penalty: None.
Maximum Repayment Period: 10 years.
Consequences of Delinquency (on Defaulted Loan made by CCSU): Account will be listed with a collection agency. Report will be made to a credit bureau. Readmission to CCSU University will be denied and official transcripts withheld. All further aid at CCSU will be denied to student. Legal action will be taken on extended default.
Interest Benefits: Borrower pays no interest while enrolled in school at least half time or during the grace period after leaving school.
Grace Period: The six- or nine-month period from the date student ceases half-time enrollment status. No interest accrues during grace period. No payments due, but voluntary payments may be made to reduce interest after grace period.
Cancellation Provisions: The loan may be cancelled under the following conditions: 1) death of borrower, 2) total disability of borrower, 3) certain types of military service, 4) obtain employment in a qualifying teaching service, 5) certain types of employment service.
Eligible for Federal Direct Consolidation: Yes.