Under federal law, the authority for schools to make new Perkins Loans ended on Sept. 30, 2017, and final disbursements were permitted through June 30, 2018. As a result, students can no longer receive Perkins Loans.
Federal Perkins Loan Exit Counseling
You will receive an exit packet in the mail after you graduate, leave school, or drop below halftime enrollment.
Within the exit packet is the Truth in Lending Statement which includes your repayment schedule, the Student Loan Borrowers Rights and Responsibilities and Loan Interview/Personal and Confidential information sheet.
These documents must be completed, signed, and returned to the Perkins Loan Collections Office. Once we have received your completed and signed exit packet, we will update your account to note that the exit interview is complete.
If you received a federal Perkins Loan, you will pay back the loan after you graduate, leave school, or drop below halftime enrollment. It is important that you know your total loan amount and the repayment amount.
After you leave school or drop to less than half time attendance, you are granted an initial grace period of nine months, during which you don't have to make payments. During the grace period, no interest accrues on your loan. You can prepay your loan at any time, without penalty.
When repayment begins on your federal Perkins loan, the minimum monthly payment will be $40. The payment amount may be higher depending on your loan balance. The maximum repayment period is 10 years.
Solutions for Repayment Problems
Deferment and Forbearance
If you are experiencing financial difficulty you should contact your school or its billing service immediately for assistance in handling your student loan payments.
You may be eligible for a deferment or forbearance which would temporarily suspend your regular payments. Refer to your promissory note for specific deferment and forbearance provisions.
Your school will determine your eligibility for any deferments and forbearances. In order to be considered for a deferment or forbearance, you must complete the applicable form, along with all required documentation, and return it promptly to your school. Forms are available at http://www.ecsi.net/bwr/forms/vx-index.html.
Interest is not charged during deferment periods. However, you are responsible for the interest that accrues during forbearance periods.
Your federal Perkins Loan can be included in a loan consolidation with your other federal loans.
Once consolidated, you relinquish your rights to deferment and cancellation benefits on your Perkins Loan.
To apply for Direct Loan Consolidation, go to www.studentloans.gov to electronically complete the Federal Direct Consolidation Loan Application and Promissory Note.
Credit Bureau Reporting
- Accounts are reported monthly
- The reporting of a current repayment status can help your credit rating
- 30, 60, 90, and 120 days delinquent are reported as well as accounts submitted to a collection agency
- The reporting of account delinquency will damage your credit rating
- Damaged credit rating may result in disapproval of future purchases (ex: home, auto, or new business)
Delinquency and Default
Notify your school immediately if you have difficulty making a payment. Failure to pay all or part of an installment payment when due or to make alternative arrangements with your school or its billing service may result in late charges.
Your school or its billing service is required to report your past-due status to a national credit bureau and to initiate collection actions against you if you fail to make timely payments. In addition, your school has the option to file a lawsuit against you.
Defaulting on your student loan can result in:
- damage to your credit rating, which could impact your ability to borrow;
- referral of your account to a collection agency;
- collection costs;
- garnishment of your wages;
- withholding of your state or federal Treasury payments (including federal tax refunds, Social Security benefits, etc.);
- civil lawsuit, including court costs and legal expenses;
- loss of deferment and forbearance options; and
- loss of eligibility for further financial aid
If you default, you may be eligible for the loan rehabilitation program. Once your loan is rehabilitated, the credit bureau will be notified to remove the default from your credit history and your loan account returned to regular repayment status. You will also regain the balance of benefits and privileges of the promissory note as applied prior to the default. Rehabilitation can only be granted by the school once per loan.
Cancellation & Discharge
You may be eligible to have all or a portion of your Federal Perkins Loan canceled (based on your employment or volunteer service) or discharged (under certain circumstances), which means you are no longer required to repay some or all of your loan.
YOUR PERKINS LOAN MAY QUALIFY FOR CANCELLATION IF EMPLOYMENT IS IN THE FOLLOWING FIELDS:
- TEACHING: Special Education, Handicap, Shortage Fields, Low Income Schools listing with U.S. Dept. of Education. Faculty member at a tribal college or university.
- LAW ENFORCEMENT 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.
- NURSE OR MEDICAL TECHNICIAN: Certified, Registered or Licensed
- CHILD OR FAMILY SERVICE AGENCY OR EARLY INTERVENTION
- SERVICE IN AN EARLY CHILDHOOD EDUCATION PROGRAM: Head Start, Pre-K and Child Care Programs Licensed or Regulated by the State.
- ATTORNEYS EMPLOYED AS A PUBLIC DEFENDER
- LIBRARIAN: with a Master's degree in library science who is employed in an elementary or secondary school that qualifies for Title I funding, or in a public library that serves a geographic area that includes one or more Title I schools
- FIREFIGHTERS: Full-time firefighter for a local, State or Federal fire department or fire district
- MILITARY SERVICE IN A HOSTILE AREA
- SPEECH-LANGUAGE PATHOLGIST: Has a Master's degree and is working exclusively with Title I Eligible schools
- AmeriCorps VISTA: Up to 70%. Volunteer must elect NOT to receive a national service educational award.
If you die, your loan obligation will be cancelled once the school receives notification of death.
If you become totally and permanently disabled, your loan obligation will be cancelled. To apply for disability discharge of the Perkins Loan, go to http://www.disabilitydischarge.com/Application-Process/
The U.S. Department of Education will notify the school or billing servicer if approved.
Federal Student Loan History
To monitor all of your federal student loan debt, you may access the National Student Loan Data System (NSLDS) on line at www.nslds.ed.gov or call toll-free (800) 999-8219. You will need your federal PIN number to view your loan history. Please note that this website does not list alternative or private student loans.
Information and Reminders
- IT IS YOUR RESPONSIBILITY TO UPDATE YOUR ADDRESS, PHONE NUMBER, AND ANY OTHER PERTINENT INFORMATION. Informing other offices on campus DOES NOT guarantee that our department will receive the update
- Should you want a copy of your promissory note, one can be requested by calling or emailing our office
- Monthly Bills will be mailed each month from ECSI (MSU's billing agency for Perkins Loans)
- Information regarding your loan can be found on the billing service website at www.ecsi.net
- Deferment, Forbearance and Service Deferment/Cancelation Forms are available at http://www.ecsi.net/bwr/forms/vx-index.html
- Payments can be made online at www.ecsi.net or mailed to ECSI, P.O. Box 718, Wexford, PA 15090
- Check or money order should be made payable to Mississippi State University
- Include your account # on check or money order
- Your Title IV loan information is available on the National Student Loan Data System (NSLDS) at http://www.nslds.ed.gov
- Return Repayment Schedule/Disclosure Statement
- Send deferment and forbearance forms
- Send cancellation forms for qualifying fields of work
- Keep a check on your account - update any changes (address, phone #, email, etc.) online at www.ecsi.net
SCHOOL CONTACT INFORMATION:
Student Financial Aid
P.O. Box 6035
Mississippi State, MS 39762
Phone: (662) 325-2454
Fax: (662) 325-0702