Guidance on Assignments and Liquidation of Perkins Loan Program Released
June 16, 2010
The Department of Education has provided detailed guidance to institutions on procedures for assigning Perkins loans to ED, including new forms to use to do so. Steps involved in liquidating an institution's revolving loan portfolio when a college or university ceases participation in the Perkins Loan program are also covered.
Institutions may assign a Perkins loan to ED for several reasons: because it is in default and collection efforts are stymied; when the institution has made an initial determination that the borrower is eligible for a total and permanent disability discharge; or when liquidating its portfolio. Once a loan is assigned to ED, ED will attempt further collections but any loan payments received will be retained by the federal government. The institution will no longer have any responsibility for the loan.
The June 10 electronic announcement provides links to detailed step-by-step instructions and forms.
Vice President, Regulatory Affairs
- Task Force Urges Regulatory Reform
- Legislators Take Action on Education, Charitable and Research Incentives
- Associations Comment on College Ratings System
- ON-DEMAND: How to Build, Develop, and Support a Compliance Program at Your Institution
- ON-DEMAND: Strategic Tuition Assessment and Tuition Restructuring
- ON-DEMAND: Are Shared Services Right for Your Organization – The KU Journey
- ON-DEMAND: VIRTUAL: 2014 Annual Meeting
- ON-DEMAND: VIRTUAL: Student Financial Services Conference
- ON-DEMAND: VIRTUAL: Higher Education Accounting Forum
- A Guide to College and University Budgeting: Foundations for Institutional Effectiveness, 4th ed. - by Larry Goldstein
- NACUBO's Guide to Unitizing Investment Pools - by Mary S. Wheeler
- Managing and Collecting Student Accounts and Loans - by David R. Glezerman and Dennis DeSantis