Perkins Loans
This loan program is administered by the South Dakota School of Mines and Technology and like any loan, must be repaid.
What is a Federal Perkins Loan?
The Federal Perkins Loan (Formerly known as the National Direct Student Loan Program.) is a low-interest (5 percent) loan for both undergraduate and graduate students with exceptional financial need. This campus-based, federally funded loan program began in 1958. The loan is made with government funds with a share contributed by the school. You must repay this loan to South Dakota School of Mines and Technology.
Is there a charge for this loan?
A Perkins Loan borrower is not charged any fees. However, if you skip a payment, make a payment late, or make less than a full payment, you will have to pay a late charge plus any collection costs. Late charges with continue until your payments are current.
Is Entrance/Exit Loan Counseling Required?
If you are a first time Perkins Student Loan borrower at SDSM&T, you must complete a Perkins Entrance Loan Counseling session before your Perkins Loan will be applied to your account. (Once you click on the Perkins Entrance Loan Counseling link, you will need to page down in order to start, since the first item that shows is the Stafford Entrance Counseling.)
If you will be graduating from SDSM&T, are attending less-than half-time or have decided not to return next semester, you will need to complete an Perkins Exit Loan Counseling session.
When do I pay back this loan?
If you are attending school at least half time, you have nine months after you graduate, leave school, or drop below half time status before you must begin repayment. This is called a grace period. At the end of your grace period, you must begin repaying your loan. You may be allowed up to 10 years to repay. Make an on-line payment.
Can I postpone repayment of my Federal Perkins Loan?
Yes. Under certain circumstances, you can receive a deferment or forbearance on your loan. During a deferment, you are allowed to temporarily postpone payments on your loan, and no interest accrues. You may receive a deferment under certain conditions, such as unemployment. See the Loan Deferment Summary for the list of deferments available.
Deferments are not automatic. You must apply for one through South Dakota School of Mines and Technology by using a Deferment Form. You must file your deferment request on time or you'll pay a late charge.
If you are temporarily unable to meet your repayment schedule but are not eligible for a deferment, you can receive forbearance for a limited and specific period. During forbearance, your payments are postponed or reduced. Interest continues to accrue; you are responsible for it.
Forbearance isn't automatic either. You may be granted forbearance in up to 12-month intervals for up to three years. You must apply in writing for forbearance through SDSM&T or University Accounting Service. You will have to provide documentation to support your request for forbearance. You must continue making schedule payments until you are notified that a deferment or forbearance has been granted.
Can my Federal Perkins Loan be canceled?
Yes. If the borrower dies or becomes totally and permanently disabled, the loan can be canceled. A loan an also qualify for cancellation under certain other conditions--as long as the borrower is not in default. See the cancellation list for more details.
If you have any questions about the terms of your Federal Perkins Loan, repayment obligations, deferment, forbearance, or cancellation, contact SDSM&T or University Accounting Service. Only SDSM&T may grant deferments, forbearances, or cancellations, or make other decisions concerning your loan please contact Jackie Anderson.
Email:
Jacqueline.Anderson@sdsmt.edu
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Office of Administrative Services
Attn: Jackie Anderson
South Dakota School of Mines & Technology
501 East St. Joseph St.
Rapid City, SD 57701-3995
Phone: (605) 394-1204
Fax: (605) 394-6131
Toll Free: (800) 544-8162 x 1204
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