Loans

This program provides federally insured, low interest and long-term loans to students or parents to help cover the costs of attending college. The federal government is the lender (not a bank or any other financial institution) and makes the loan directly to the student or the parent through the college. Direct Loans are either subsidized or unsubsidized. Repayment on the student's loans begins six months after graduation, termination of attendance, or when you register for less than six credits while in attendance. Repayment on Parent Loans for Undergraduate Students (PLUS) begins after the first check disbursement. More Info

For parent borrowers, the Direct Loan Program offers the William D. Ford Federal Direct PLUS Loan. These loans enable parents with good credit histories to borrow to pay the educational expenses of each child who is a dependent undergraduate student enrolled at least half time. To apply, the parent must complete the "William D. Ford Federal Plus Loan Processing Form" for the appropriate academic year. CUNY still requires that students complete the FAFSA if the parents wish to apply for the Federal PLUS Loan. More Info

Federal Perkins Student Loans are low interest loan in which your college serves as the lender. The Perkins Loan Program ended September 30, 2017.

A student may receive a Perkins Loans through‑	To an‑	Who, on the date of disbursement‑	If the student has been awarded‑
September 30, 2017	Eligible current undergraduate student	Has an outstanding balance on a Perkins Loan made by the school.	All Direct Subsidized Stafford Loan aid for which the student is eligible.
September 30, 2017	Eligible new undergraduate student	Does not have an outstanding balance on a Perkins Loan made by the school.	All Direct Subsidized and Unsubsidized Stafford Loan aid for which the student is eligible.

Residency and Citizenship

You must be a citizen of the United States or have been admitted into the United States as a permanent resident, refugee or asylee.

Student Eligibility

Undergraduate Students

Interest Rate and Repayment

The interest rate is 5%. Perkins Loan borrowers are eligible to defer the repayment of the loan principal, with no interest charged while enrolled for classes as at least a half-time student. It is a subsidized loan, with interest being paid by the federal government during the in-school and 9 month grace periods. Repayment begins nine months after dropping below half-time enrollment. Repayment can take a maximum of ten years. You may consolidate your Perkins loan with your other Federal student loans. The benefit of this is a single monthly payment instead of multiple payments to multiple lenders. By consolidating, you may have an option for additional repayment plans. For additional information on Direct Loan Consolidation, visit https://studentaid.ed.gov/sa/repay-loans/consolidation.

A student who received a Perkins Loan can learn more about managing the repayment of the loan by contacting the Business Office at New York City College of Technology.

What is a Federal Perkins Loan?

A Federal Perkins Loan is a low-interest (5%) loan that was awarded to students with exceptional financial need. The Perkins Loan is not a grant, it is a loan, which means that all funds borrowed must be repaid. The loan is made with government funds and a share contributed by New York City College of Technology. The loan must be repaid to the College.

Repayment

Students are not required to make loan and/or interest payments while enrolled in school. After graduating, withdrawing or dropping below half-time (6 credits), students are given a grace period of 9 months before repayment of the Perkins Loan begins. When students cease to be enrolled, they must complete an online exit counseling session, which will once again review the financial responsibilities of borrowing a Perkins Loan, the repayment agreement, and repayment options. Several options exist to repay this loan; the minimum monthly payment begins at $40.00 per month.

Deferment, Postponement, and Cancellation

Students may defer or postpone payments for a variety of reasons as discussed during the entrance and exit counseling sessions. The entrance and exit counseling sessions also discuss the fields of work for which Perkins Loan cancellation is possible.