Perkins Loan is a federal subsidized loan. Students apply directly at their college or university. The interest rate is fixed at 5 % per year and government pays for it until the student gets a job. There’s a nine month grace period until you start repaying.

     The student must repay to the college or university as this institution is actually lending a part of the funds, the rest being granted by the federal government.


     Funds are directly transferred to the student by the educational institution via a check or money order. Funds are normally delivered to the student along the educational year, in two or more installments.

     Perkins Loan is not charged with any further fees or commission. You just need to pay interest and capital. When students don’t pay their monthly installments in time or pay less than agreed, a fine or penalty will be applied. If they do this often, larger penalties may apply.

     The monthly amount to repay is fixed at the time of granting, and it will depend on how much you’re borrowing and how long a repayment period you’re applying for. It will usually be an average 40 to 50 dollars per month. Interest rate will be normally 5 % on a ten-year repayment period. That’s if you borrow between 4000 and 5000 dollars.