Dec. 18, 2015 update: The U.S. Congress has passed legislation and President Obama has signed it into law extending the Perkins Loan program with some restrictions not noted in the article below. More about this change will be posted on this website as guidance is offered by the U.S. Dept. of Education.
Lack of congressional action is ended funding this fall for the low-interest federal Perkins Loan program. Universities and colleges, including U-M, are not allowed to make Federal Perkins Loans to new borrowers after Sept. 30, 2015.
New borrowers (all entering students and continuing undergraduate students) may be awarded a Perkins Loan for 2015-16 but not in future years. It is important for students to sign their master promissory note in Wolverine Access before Aug. 28, 2015 so the loan can be disbursed by Sept. 30. If new borrowers do not sign the note, they will not receive a Perkins Loan.
Some continuing students who received Perkins Loans in 2014-15 or earlier may receive future awards through Sept. 30, 2020 under a grandfathering provision that allows them “… to continue or complete courses of study.” According to information from the U.S. Dept. of Education, a future Perkins Loan at U-M may be allowed if:
The full amount of Direct Subsidized Loan for which a student is eligible is awarded first (then a Perkins can be awarded).
More details about these program changes will be posted on our website as they are made available by the U.S. Dept. of Education.