The Federal Perkins Loan is a federally funded, low-interest, need-based loan. This campus-based program is administered by the UNI Office of Business Operations. The interest rate is fixed at 5%. Interest starts to accrue nine months after a student leaves school, graduates, or drops below half-time status. The first payment is due on the first of the tenth month. Minimum monthly payments start at $40.00, but could be higher depending on the total amount borrowed. Repayment occurs over a maximum of 10 years, not including any periods of deferment.
In order to qualify for the Perkins Loan, students must file the Free Application for Federal Student Aid (FAFSA). The Office of Student Financial Aid & Scholarships will award this loan in accordance with federal regulations.
Perkins Loan borrowers will be required to complete an electronic Master Promissory Note online via Student Center. This promissory note is a legal and binding contract for the repayment of the Perkins Loan, according to the loan amount, interest, repayment terms, and exit counseling requirements.
The University of Northern Iowa contracts with a student loan billing servicer, University Accounting Service (UAS). They provide web-based access to Perkins Loan accounts which allows borrowers to view payment history, update contact information, verify account balances, obtain payoff amounts, and make online payments. Borrowers can access their loan status online at www.uasecho.com.