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Applying
Perkins Student Loans are awarded as part of a package of Federal, State and other
financial aid offered to persons who apply for financial assistance to attend the
University. Awards are based on the applicant's need and the availability of loan funds.
You cannot "apply" specifically for a Perkins Loan; for complete information
concerning applications for financial assistance and awarding, you may contact the Office
of Student Financial Aid.
Once you have been awarded a Perkins Loan for a specific academic year, you will be mailed a packet including a Promissory Note outlining the terms and conditions of the loan, and a Statement of Rights and Responsibilities form. You complete, sign and return these documents to the Business Affairs Office/Perkins Student Loans. The proceeds of the loan are disbursed on a term-by-term basis, and applied to your Student Billing Account, along with your other student aid disbursements (such as Pell Grants, Supplemental Grants, Federal Direct Loans, Oregon Need Grants and other grants and scholarships). For each year your Financial Aid award includes Perkins Loan funds, the process is repeated.
Loan
Repayment
When
you received your student loans, you signed a promissory note agreeing to make
repayment
according to the terms of the note. The note is a legally binding document
which obligates you to repay the loans.
Perkins Loans are borrowed from and repaid directly to the University of Oregon. It is important not to confuse Perkins Loans with other student loans you may have borrowed, such as the Federal Direct Student Loans, private educational loans through banks, Guaranteed Student Loans etc.
Perkins Loans cannot be "bought" by another lender as some other student loans may be, though they can be included in a consolidation loan; also, Perkins Loans borrowed from different schools are never "combined" but are repaid to each school separately, though they can be pro-rated.
When you leave the University of Oregon, or drop to below half time enrollment, the loan funds you have borrowed up to that time are placed into repayment status, and you will be sent repayment information including two copies of a Schedule of Repayment/Truth in Lending Disclosure Statement and copies of your Promissory Notes.
One copy of the Truth in Lending Statement must be completed and returned to the Business Affairs Office/Perkins Student Loans Department for your file. This must be done even if you will be returning to the U of O at least half time, or transferring to another school, or qualifying for deferment under other terms of your contract.
Grace
Period
The grace period is a short time period
after graduation during which you are not required to begin repaying your
student loans. There is an original grace period of nine months after your last
term of continuous eligible enrollment, during which no interest accrues.
Your grace period starts from they day you leave U of O or your number of hours drop below half-time enrollment, whichever comes first. The first quarterly installment payment is due at the end of the first quarter following the expiration of the grace period, or approximately 12 months after your last term of continuous eligible enrollment.
Late Fees if Delinquent
If you fail to make a payment on time, you are considered delinquent and late fees and additional interest will be charged.
Default
If
you default on your UO Perkins Loan, your loan may be accelerated, and the
entire balance declared immediately due and payable, including the principal,
interest, late charges and collection costs.
Failure to make payment when due, or to submit to the UO documentation of
eligibility for deferment, forbearance or cancellation on or before the due date
of a payment, can cause your loan to be declared in default.
Your loan will be referred to outside collections, and reported to credit
bureau organizations as defaulted, and you will lose eligibility for deferment,
forbearance or cancellation benefits you might otherwise qualify for; also, you
will lose eligibility for any future Title IV Federal financial aid (NOT only
Perkins Loans, but Pell Grants, Federal Direct or Federal Family Education
Loans, or any other Federal aid).
Loan
Rehabilitation
It
is possible to rehabilitate a defaulted Perkins Loan.
To do so you must enter into a written payment agreement, and make 12
consecutive, voluntary, on time monthly payments in an amount determined by the
UO.
If a Perkins Loan is successfully rehabilitated, eligibility for new
Title IV aid will be reinstated and the original terms of your loan contract
will be reinstated.
However, you may rehabilitate your loan only once; if you default again,
the default status will continue until the loan is paid in full.
Hardship
Repayment Options
If
you qualify as a low-income individual during the repayment period, the UO may
extend the repayment period for up to an additional 10 years and adjust the
repayment schedule to reflect your income.
The UO may also extend your repayment period, or allow payments of less
than the scheduled payment amount, if, in our opinion, prolonged illness or
unemployment prevent you from making the scheduled repayments.
Interest would continue to accrue during any extension periods.
Address
and Name Changes
It is the responsibility of the
borrower to keep the Business Affairs Office/Perkins Loans Department informed
of the correct mailing address at all times, until the loan is paid in full.
Perkins Loans maintains a separate file of mailing addresses for loan billings,
not connected with the general University address system, for security and
confidentiality, so the borrower must be sure the Business Affairs
Office/Perkins Loans department is informed separately of changes of address.
Repayment
Schedules
Installment payments on Perkins Loans
are due quarterly, unless the borrower requests a monthly schedule instead.
Installment payments are due on or before the first day of each quarter (January
1, April 1, July 1, October 1) or each month on monthly schedules. There is no
"grace" period, though we try to allow a few days each month in case
of delays in the mail.
Billing
Statements
Reminder notices are sent at least 2
weeks prior to each due date, as a courtesy and a convenience to the borrower;
we do everything possible to ensure that our borrowers receive their reminder
notices, but if the reminder does not reach the borrower due to Post Office
problems or failure of the borrower to inform our office of a change of address,
or other unforeseen reasons, this does not "excuse" a late payment. It
is legally the responsibility of the borrower to be sure payments are received
on time as scheduled.
Late payments will result in additional interest and past due charges. Non-payment will eventually result in referral of the account to outside collections, which will add at least 25% to the total needed to pay off the loan.
When
and Where to Pay
All correspondence, and payments sent
without the bill stub, should be addressed to:
Regular payments remitted with the bill stub go to our bank processing center in Portland.
In addition, for your convenience
Automatic Payment option is now available. Simply complete and return the 
Student Loan Automatic Payment Authorization Form.
Paying off your Loan ahead of the schedule:
Because of its low interest rate and
flexibility in its repayment terms, Perkins loan is considered to be one the
BEST Educational Loans available to students. Most borrowers prefer to keep this
loan and make regularly scheduled payments throughout the life of the loan.
However there is no pre-payment penalty for paying all or part of a Perkins Loan ahead of schedule. A borrower may also make early payments for future installments, up to one year ahead, with proper notification to the Perkins Loan Department. Without such notification, the additional amounts paid are applied as "extra" payments for the reduction of the principal, and a regular installment payment will be due the next scheduled due date
Deferment
Deferment is a suspension of payment
without interest accrual on the account. All deferments require the borrower to
file appropriate certification in a timely manner. All deferment periods are
followed by a renewed grace period of six months, during which interest does not
accrue, after the end of the deferment period.
In order to receive a deferment, cancellation, or forbearance, the borrower must submit my request for the deferment, cancellation or forbearance in writing to the University of Oregon, and must submit to the University of Oregon any documentation required by the University of Oregon to prove that they qualify for these benefits.
The borrower is also responsible for submitting the appropriate requests on time, and may lose their benefits if they fail to file a request on time.
Upon making a properly documented written request to the University of Oregon, the
borrower may defer making scheduled installment payments and will not be liable
for any interest that might otherwise accrue (1) during any period that they are
enrolled and in attendance as a regular student in at least a half time course
of study at an institution of higher education or at a comparable institution
outside the United States approved for this purpose by the Secretary; enrolled
and attending as a regular student a graduate fellowship program approved by the
Secretary; engaged in graduate or post-graduate fellowship-supported study
outside the United States; enrolled and attending a rehabilitation program for
disabled individuals approved by the Secretary; engaged in public service that
qualifies me to have part or all of their loan canceled;
(2) For a period not to exceed three (3) years during which the borrower
is seeking but unable to find full-time employment; (3) for a period not to
exceed three (3) years during which the borrower is experiencing an economic
hardship as determined by the University of Oregon.
The borrower is not eligible for a deferment while serving in a medical internship or residency program.
the borrower may continue to defer making scheduled installment payments
and will not be liable for any interest that might otherwise accrue for a
six-month period immediately following the expiration of any deferment period
described in this paragraph.
Forbearance
Upon making a properly documented written request to the University of Oregon, the
borrower is entitled to forbearance of principal only, renewable at intervals
from 6 to 12 months for periods that collectively do not exceed three years,
under the following conditions: If my monthly Title IV loan debt burden equals
or exceeds 20% of my total gross monthly income; if the Secretary authorizes a
period of forbearance due to a national military mobilization or other national
emergency; or if the University of Oregon determines that the borrower qualifies
due to poor health or for other reasons, including service in AmeriCorps.
Interest continues to accrue during any period of forbearance.
Cancellations
Upon making a properly documented written request to the University of Oregon, the
borrower is entitled to have up to 100% of the original principal amount of this loan canceled if they perform qualifying services in the
areas listed in paragraphs A, B, C, D and E below.
Qualifying service must be performed after they receive the loan.
A. TEACHING (1) A full time teacher in a public or other nonprofit elementary or secondary school, that has been designated by the Secretary in accordance with the provisions of section 465(a)(2) of the Act as a school with a high concentration of students from low income families.
An official Directory of designated low-income schools is published annually by the Secretary. (2) A full time special education teacher in a public or other nonprofit elementary or secondary school system. (3) A full time teacher, in a public or other nonprofit elementary or secondary school system, who teaches mathematics, science, foreign languages, bilingual education, or any other field of expertise that is determined by the State Department of Education to have shortage of qualified teachers in that State.
B. EARLY INTERVENTION SERVICES
A full time qualified professional provider of early intervention services in a public of other nonprofit program under public supervision by a lead agency as authorized by section 672(2) of the Individuals with Disabilities Act. Early intervention services are provided to infants and toddlers with disabilities.C. LAW ENFORCEMENT OR CORRECTIONS OFFICER
A full time law enforcement officer for an eligible local, State or Federal law enforcement agency; or a full time corrections officer for an eligible local, State or Federal corrections agency.D. NURSE OR MEDICAL TECHNICIAN
A full time nurse providing health care services, or a full time medical technician providing health care services.E. CHILD OR FAMILY SERVICE AGENCY
A full time employee of an eligible public or private nonprofit child or family service agency who is providing or supervising the provision of services to high-risk children who are from low-income communities and the families of such children.CANCELLATION RATES--for each completed year of service under paragraphs A, B, C, D and E a portion of this loan will be canceled at the following rates: 15% of the original principal loan amount for each of the first and second years; 20% of the original principal loan amount for each of the third and fourth years; and 30% of the original principal loan amount for the fifth year.
F. HEAD START
Upon making a properly documented written request to the University of Oregon, I am entitled to have up to 100% of the original principal amount of this loan canceled for qualifying service performed after I receive the loan, as a full time staff member in the educational component of a Head Start program which is operated for a period comparable to a full school year and which pays a salary comparable to an employee of the local educational agency.CANCELLATION RATE--For each completed year of service under the Head Start cancellation provision, this loan will be canceled at the rate of 15% of the original principal loan amount.
G. MILITARY
Upon making a properly documented written request to the University of Oregon, I am entitled to have up to 50% of the principal amount of this loan canceled for qualifying service performed after I receive the loan, as a member of the Armed Forces of the United States in an area of hostilities that qualifies for special pay under section 310 of Title 37 of the United States Code.CANCELLATION RATE--For each completed year of service under the Military Cancellation provision, this loan will be canceled at the rate of 12 1/2% of the original principal loan amount.
H. VOLUNTEER SERVICE
Upon making a properly documented written request to the University of Oregon, I am entitled to have up to 70% of the original principal amount of this loan canceled for qualifying service performed after I receive the loan, as (1) a volunteer under the Peace Corps Act; or (2) a volunteer under the Domestic Volunteer Service Act of 1973 (ACTION programs).CANCELLATION RATES--For each completed year of service under the Volunteer Service Cancellation provision, a portion of this loan will be canceled at the following rates: 15% of the original principal loan amount for each of the first and second 12-month periods of service; 20% of the original principal loan amount for each of the third and fourth 12-month periods of service.
I. DEATH AND DISABILITY
In the event of my death, the University of Oregon will cancel the total amount owed on this loan. If I become permanently and totally disabled after I receive this loan, and submit a properly documented written request, the University of Oregon will cancel the total amount owed on this loan.
Exit Loan
Counseling
Who
Should Read This?
Anyone, who has received a Perkins Loan and is about to graduate or leave the University of Oregon.
The University of Oregon is pleased to offer you this online Exit Loan Counseling session to simplify the final step in the student loan borrowing process. This online counseling is intended for anyone who has received a Perkins Loan and is about to graduate or leave UO. It enables you to complete the Exit Interview which is required prior to leaving the University of Oregon.
The primary purpose of this counseling is to help you to better understand the student loans that you have received to fund your education and to provide you with information about your rights and responsibilities as a borrower.
After reviewing the following information,
you must complete the Statement of Rights and Responsibilities form and send or deliver it to:
University
of Oregon
Oregon
Hall / Business Affairs Office
P.O.
Box 3237
Eugene,
OR 97403
What
You Will Need
To
fully complete the Statement of Rights &
Responsibilities form you will need the following information,
Please complete the
Statement of Rights &
Responsibilities form as
your proof of completion of your exit Interview. As part of your graduation
requirement, you need to either drop off the completed form by our office or
mail it to us AS SOON AS POSSIBLE.
You have successfully completed the University of Oregon Online Exit Loan Counseling session. We hope we have provided you with a information about your rights and responsibilities as a student loan borrower.
Questions:
If you have any questions in regards to
terms and conditions of your Perkins Loan, please feel free to stop by our
office in Oregon Hall or call (541) 346-3171.