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Federal Loans

Federal Perkins Loan Program

The Federal Perkins Loan Program is one of the Federal Title IV Programs.  The fund consists of federal dollars, matching dollars from the university and funds that previous student borrowers have repaid.  Federal regulations require that these loans go to the neediest aid applicants.  Because the fund is limited, not all students who need loans can borrow from this program. 

Loan Limits

Status Annual Limit Total Limit
Undergraduate $5,500 $27,500*
Graduate $8,000 $60,000

*The aggregate limit is $11,000 for students who have not reached junior standing.

Cost of Borrowing

The Federal Perkins Loan Program does not require borrowers to pay a loan origination fee.  The annual interest rate of 5 percent makes the Federal Perkins Loan Program the "lowest cost" federal loan program.  Interest does not begin to accrue until nine months after you graduate, cease enrollment, or drop below half-time enrollment (six units).

Entrance Loan Counseling

If you borrow from the Federal Perkins Loan Program, you must complete a loan counseling session every academic year for which you receive a loan, and complete the Federal Perkins Loan Borrower’s Questionnaire at the end of the Perkins Loan counseling session.

Master Promissory Note


First-time Perkins Loan borrowers at Towson University will receive a Federal Perkins Loan Master Promissory Note from the Towson University Perkins Loan Collection Coordinator.  Borrowers will return their properly completed Perkins Loan Promissory Note to the Towson University Office of Financial Services.



You will begin to repay a Federal Perkins Loan at the end of a nine-month grace period that begins when you leave the university or drop below a six unit courseload.  Payments are based on the total amount borrowed, but may not be less than $40 per month.  Because your loan requires repayment within 10 years, your payments may be higher than the minimum repayment.  You can prepay your loan at any time without penalty.  You can consolidate loans from more than one Federal Title IV student loan program and have just one monthly payment.  Refinancing may also give you a longer repayment period.


Deferments and Cancellations

During a period of deferment, you will not have to make payments on your loan and no interest will accrue.  Under certain circumstances, such as teaching in a designated elementary or secondary school serving students from low-income families, you may cancel the loan.  You will find a complete list of deferment and cancellation benefits in the U.S. Department of Education's Student Guide.



If you have difficulty repaying your loan you may be granted a limited period of forbearance.  During an approved period of forbearance, reduced or postponed payments result, although interest continues to accrue on your loan.

Financial Aid Office
Enrollment Services, Room 339
Hours: Monday - Thursday, 8 a.m. - 5 p.m.; Friday, 8 a.m. - 4:30 p.m. (Reception Desk)
            Monday - Thursday, 8:30 a.m. - 5 p.m.; Friday, 8:30 a.m. - 4:30 p.m. (Financial Aid Call Center)

Phone: 410-704-4236
Fax: 410-704-2584





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