<p>First off - some background. I was recently accepted to Georgetown University as a sophomore transfer for this coming fall. When I got my financial aid package, I was surprised to see I had been given a $2,000 Perkins loan. From what I have read, Perkins loans are supposed to be for students "with exceptional need." While my family certainly cannot afford to pay the full sticker price of $55,000+/year, I could never see my family being described as having "exceptional need." Last year my mom made about $100k before taxes and deductions, and before that year (when she had to change jobs rather unexpectedly) it was closer to $150k-200k. While my father's business did suffer a loss of ~$30,000 last year, that's still about $70,000 of income for 2011.</p>
<p>What I am wondering is - what exactly are the eligibility criteria for receiving a Perkins loan? Do schools arbitrarily determine this, or does the federal government set the standards? I guess I just find it strange because I've always thought of my family as rather blessed, and I know there are many students out there who have much greater need than I do.</p>
<p>I would appreciate any insight/explanation you could give!</p>
<p>Perkins is one of 3 programs called campus based aid. The school is given a fixed amount of money and they determine their own criteria for how to allocated those funds. You are not the first person I have seen on CC that has been surprised to be awarded it.</p>
<p>Some schools who have those funds try to give as much aid in grants to those who are absolutely the most needy. For someone whose family is PELL eligible, taking out the maximum Stafford and then even more loans even subsidized ones, is really putting them in a rough spot in terms of repayment, whereas a student who has a family that can give some aid, would be in a much better place to borrow that money. So it is a judgement issue as to who gets the Perkins. Did GT also include the Staffords, sub and unsub in your aid package?</p>
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<p>With the one firm restriction that the student must have unmet need. The federal guidelines also state “An institution shall make loans under this part reasonably available, to the extent of available funds, to all students eligible … but shall give priority to those students with exceptional financial need,” but it leaves it up to the school as to how to define “exceptional financial need.”</p>
<p>[Electronic</a> Code of Federal Regulations:](<a href=“http://ecfr.gpoaccess.gov/cgi/t/text/text-idx?c=ecfr&sid=731b88960c9cfdba738157465cc2c222&rgn=div5&view=text&node=34:3.1.3.1.37&idno=34#34:3.1.3.1.37.1.39.8]Electronic”>http://ecfr.gpoaccess.gov/cgi/t/text/text-idx?c=ecfr&sid=731b88960c9cfdba738157465cc2c222&rgn=div5&view=text&node=34:3.1.3.1.37&idno=34#34:3.1.3.1.37.1.39.8)</p>
<p>^^yes, all three campus based aid programs are need based.</p>
<p>With that tuition and that income, you are probably in the tier of “need” because a lot of high income students and scholarship recipients “need” it less than you do. If family income goes back up to the 150+ range then you might expect to lose it</p>
<p>@cptofthehouse we got subsidized Stafford loans included in the package.</p>
<p>Thank you guys for your responses! I think I understand a little better why I was given a Perkins loan.</p>
<p>I also have one other question I would appreciate anyone answering for me. My mother recently started at a new job, and her income is back up to what it has typically been throughout her career - ~180k. While this is a rather large jump, will this affect our financial aid package for this coming school year? Or will it only affect it next year? We will be reporting the change of income as soon as my mom receives her first paycheck.</p>
<p>Your FA for the upcoming year is based on 2011 income. You don’t need to report the change in income when your Mom receives her new paycheck. When you apply for FA next year, yo will report 2012 income and next year’s FA will be based on that.</p>
<p>At S’ school they use Perkins for high need students and also nursing students. I suppose all colleges have their own logic for this.</p>