The Federal Perkins Loan
is a no-interest loan while the student is in school.
On the other hand, many in Washington feel that it may become a substitute for or dilute the major Federal aid programs such as Pell Grants, Stafford Subsidized Loan Program, Federal Supplemental Educational Opportunity Grant, Federal Work Studies, and Federal Perkins Loan
Colleges and universities would be unable to make disbursements to students in the work-study program or the federal Perkins Loan
Program -- which helps to finance the cost of postsecondary education at a low rate of interest.
* Restructure and expand the federal Perkins Loan
program to ensure that all institutions can take part in the program.
FPL: The Federal Perkins Loan
(FPL) is also in the student's name; he or she will be entitled to the student-loan interest deduction.
Secretary Spellings responded in part that the department does provide loan forgiveness programs for qualified teachers, and if you have a loan from the Federal Perkins Loan
Program, you may be eligible for loan cancellation for full-time teaching at a low-income school or in subject areas with teacher shortages.
Those programs are the federal Perkins loan
program, the Supplemental Education Opportunity Grant and the college work-study program.
Also, the Department of Education released draft instructions to help IHEs running a shortfall in federal Perkins Loan
revolving funds, allowing them to recoup institutional short-term loans to the funds over a longer period.
Second, it published final regulations for the Federal Perkins Loan
, Federal Family Education Loan, and William D.
A state that desires to propose teacher shortage areas for designation must submit the information required under the program regulations for the following programs: (1) Targeted teacher deferment for borrowers under the Family Federal Education Loan (FFEL) and Federal Supplemental Loans for Students (SLS) programs (34 CFR 682.210(q)); (2) Full-time teaching in fields of expertise, cancellation of up to 100% of their debt under the Federal Perkins Loan
Program (34 CFR 674.53(c)); and (3) Reduction of the teaching obligation for scholars under the Paul Douglas Teacher Scholarship Program (34 CFR 653.50(a)).