Perkins Loans
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What is a Federal Perkins Loan? It is a low interest, fixed rate (5%) loan offered by the school to a limited number of students who show
exceptional financial need and who file their Free Application for Federal Student Aid (FAFSA) before the priority deadline
of May 1, 2008.
Federal Perkins loans are funds provided by the federal government using the college as the lender. Carthage uses a loan management company call
Educational Computer Systems Incorporation (ECSI) to manage these loans. ECSI can be contacted by calling 1-888-549-3274. All interest on a Perkins Loan
is paid by the federal government while the student is attending school at least half time and during the 9 month grace period after the student either graduates
or fails to enroll at least half-time. Repayment on this loan begins 9 months after the student graduates, leaves school, or fails to enroll at least half time. A
student has up to 10 years to repay the loan depending on the amount borrowed.
How much Perkins Loan can the college award? Perkins loans are awarded by the College provided there is exceptional need as
determined by the FAFSA or professional judgment of the Financial Aid Office. The school can award up to $4000 per year in Perkins aid, but Perkins is a
limited fund. Perkins loan money runs out very early in the awarding year so we encourage students to file their FAFSA’s as soon as possible.
When can I complete the Perkins Entrance Counseling and Master Promissory Note? The Financial Aid office must notify ECSI of the
student’s loan before the student can go online and e-sign the Perkins Entrance Counseling and Master Promissory Note. Normally a list of enrolled students
is uploaded to ECSI in early August of each year. A letter or email will go out to the student informing them when a student can go on line to complete this
process.
Are any documents required? Perkins Entrance Counseling/Perkins Master Promissory Note In addition to the FAFSA,
all first time borrowers must complete an Entrance Counseling Session and a Master Promissory Note. Complete
Perkins Loan Entrance Counseling and Sign the Perkins Master Promissory Note online. You will need your federal PIN to electronically sign the MPN.
If you don’t know your PIN, go to www.pin.ed.gov to request a duplicate copy. The Perkins Loan will not transfer to the
student’s account until after this process is completed. If you wish you can decline the Perkins Loan by either emailing your wishes to Financial Aid or
completing a loan declination form. This form is available on line or from the Financial Aid office.
Perkins Loan Exit Counseling: When a student withdraws or graduates, the student is required to complete Perkins Exit Counseling. The
student will receive a letter or e-mail from ECSI giving the details of this process.
Federal Loan Consolidation: After a student graduates or quits school for six months, the student needs to make a decision
concerning loan consolidation or repayment. Read more...
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