Federal Perkins Loan Program ends

Posted by: Marlenia Thornton

mthornton@klkntv.com

The nation’s oldest student loan program is no longer.

The Federal Perkins Loan program has expired.

This comes after the senate recently blocked a law to keep it going.

The loan is low–interest and based on need.

On average, about $2,100 is awarded for a select few students annually.

"It’s mostly going to affect current college students  that are currently have been dependent on that $2,000 to make ends meet,” EducationQuest College Planning Director of Lincoln Les Monroe said.

About half–million students across the country receive it.

At Nebraska Wesleyan University, almost half of its students get the loan.

Its financial aid office awards about 500–thousand dollars to freshmen and sophomores each year.

The office’s director says the program helped bridged a gap for those most in need.

"For students coming to a private school even $1500 to $2000 a year makes a big difference, so trying to find another funding source for those students will be challenging,” Thomas Ochsner said.  

He serves as Nebraska Wesleyan University’s Scholarships and Financial Aid Director.

Some students who currently have the Perkins Loan are grandfathered in for up to five years, but

How it’s awarded is up to their school. So, there’s no guarantee.

Officials say there are various other sources of aid available to Nebraskans to help make up the difference.

So, they feel this shouldn’t be a deterrent for those wanting to go to college.

Oscher says Wesleyan is not sure how it is going to handle this yet.

"It might come in a form of an extra grant to try to help cover some of that difference, but more of it’s going to really fall back on the parents and students themselves,” Ochsner said.

For more information about financial aid or college planning, visit EducationQuest’s website: https://www.educationquest.org.