See title.
They offer IHOP loans instead.
Some more info, por favor.
Perkins loans are need-based subsidized federal student loans with an an interest rate of 5%, compared to Stafford loans which have 6.8% interest. When I was in college relatively recently I borrowed about $15,000 in Perkins loans. Now a relative of mine is applying to a different college who told him that they don’t offer Perkins loans, only Stafford. Given that it’s a federally subsidized program which shouldn’t cost the college anything, why would they be unavailable?
Stafford loans are backed by the federal government. Therefore, they can’t be defaulted on. Perkins loans are federally subsidized, but not federally backed. They can be defaulted on.
That’s my guess, anyway.
I don’t think so. Besides, the college isn’t the lender, so why would they care?
No, for a Perkins loan, the school IS the lender; although the money comes from the USDOEd, the school has to write the checks and administer the account. Stafford loans are direct loans from USDOEd to student, and don’t require much work from the school.
Interesting. Thanks.