Perkins Loan Closeout – Assignment Extension
As part of the wind down of the Perkins Loan Program, the Department of Education (ED) requires institutions to assign to the Department all Perkins Loans that have been in default for more than two years. Unless the school has documentation that these borrowers are making payments toward their Perkins loan debt, you are required to assign all Perkins Loans in default for more than two years to the ED. The previous deadline of June 30, 2022, has been extended to June 30, 2023 .
ED provides guidance on the Perkins loan assignment process in the Perkins Assignment and Liquidation Guide. ED will provide a school with the reason why any loan is rejected for assignment. If the school can resolve that issue(s), the loan can be resubmitted for assignment. In instances when an issue cannot be resolved and assignment is not possible, the school must purchase that loan.
Federal regulations state that ED may require a school to reimburse its Federal Perkins Loan Program Fund for the entire amount of the outstanding principal balance, plus any accrued interest on loans ED determines to be unenforceable.
ED reminded schools that although the Perkins Loan Program is winding down, they remain obligated to ensure all collection procedures, outlined in the regulations, are being followed.
You might also like
180 Interstate North Parkway Suite 550, Atlanta, GA 30339
[email protected] 770.988.9447
Privacy Statement
Mission + Values
Consulting + Training
Interim Staffing
Outsourced Processing
News + Events
Press Releases
Innovation from the CEO
Consultant Insights
Research + Resources
This site uses cookies. By continuing to browse the site, you are agreeing to our use of cookies.
Cookie and Privacy Settings
We may request cookies to be set on your device. We use cookies to let us know when you visit our websites, how you interact with us, to enrich your user experience, and to customize your relationship with our website.
Click on the different category headings to find out more. You can also change some of your preferences. Note that blocking some types of cookies may impact your experience on our websites and the services we are able to offer.
These cookies are strictly necessary to provide you with services available through our website and to use some of its features.
Because these cookies are strictly necessary to deliver the website, refusing them will have impact how our site functions. You always can block or delete cookies by changing your browser settings and force blocking all cookies on this website. But this will always prompt you to accept/refuse cookies when revisiting our site.
We fully respect if you want to refuse cookies but to avoid asking you again and again kindly allow us to store a cookie for that. You are free to opt out any time or opt in for other cookies to get a better experience. If you refuse cookies we will remove all set cookies in our domain.
We provide you with a list of stored cookies on your computer in our domain so you can check what we stored. Due to security reasons we are not able to show or modify cookies from other domains. You can check these in your browser security settings.
We also use different external services like Google Webfonts, Google Maps, and external Video providers. Since these providers may collect personal data like your IP address we allow you to block them here. Please be aware that this might heavily reduce the functionality and appearance of our site. Changes will take effect once you reload the page.
Google Webfont Settings:
Google Map Settings:
Google reCaptcha Settings:
Vimeo and Youtube video embeds:
You can read about our cookies and privacy settings in detail on our Privacy Policy Page.
IMAGES
VIDEO
COMMENTS
The Federal Perkins Loan Program Assignment and Liquidation Guide (Guide) is a comprehensive publication that provides information and procedures on the assignment process of Federal Perkins, National Direct, and National Defense Loans (Perkins Loans) to the Department. It also provides schools information and procedures on liquidation of a ...
For guidance on the Perkins loan assignment process, please refer to the Perkins Assignment and Liquidation Guide.For Perkins Loans rejected for assignment, the Department will provide the institution with the reason(s) for rejection; if the institution can resolve the issue(s) it may resubmit the loan for assignment.
The "quick guide" is an overview of the different steps under the Perkins liquidation process and explains how schools use the functionality of the COD Web Site to complete each step of the liquidation process. Contact Information. If you have questions regarding the Perkins Assignment and Liquidation Guide, contact the COD School Relations ...
Federal Perkins Loan Program Assignment and Liquidation Guide. Document Version 1.5 Page 1 of 40 December 20, 2016 . ... the Perkins Loan Assignment System (PLAS) allows schools to submit their assignments electronically, further reducing the amount of time it takes to process assignments.
based-subject-updated-federal-perkins-loan-assignment-and-liquidation-guide-now-available; Assigning Loans ©2021 CliftonLarsonAllen LLP; PLAS; Create a manifest of loans to assign and attach documents electronically. Manual. Can still use the Perkins Loan Program Assignment Form (OMB Form 1845-0048) which can be found on the IFAP website.
ED provides guidance on the Perkins loan assignment process in the Perkins Assignment and Liquidation Guide. ED will provide a school with the reason why any loan is rejected for assignment. If the school can resolve that issue(s), the loan can be resubmitted for assignment.
ED Guidance on Liquidation & Timelines. Electronic announcement from IFAP on Perkins loan program revolving fund distribution of asses and timelines for 2018-19 (July 11, 2018) Perkins loan assignment and liquidation guide (July, 2019) Guidance on returning Perkins funds (May 5, 2016) Other Useful Resources. FAQ on the Perkins loan program from ...
If a loan is rejected for assignment, ED must provide the reason for the rejection and the institution will be required to resolve the issue and resubmit the loan for assignment. If this is not possible, the institution must purchase the loan. See the Federal Perkins Loan Program Assessment and Liquidation Guide for details.
5/06/2022. The deadline has been extended for institutions to assign Perkins Loans that have been in default for more than two years, according to a May 4 announcement from the Department of Education's Office of Federal Student Aid. The new deadline is June 30, 2023. Colleges and universities originally had been instructed in an August 27 ...
§The Perkins Assignment and Liquidation Guide is divided into two parts: ‒Part Iprovides schools that are not liquidating with the procedures for assigning loans to the Department ‒Part II provides information and procedures about the liquidation process §The Guide has three appendices: ‒Appendix A provides contact information.
EA ID: GENERAL-21-53 on August 27, 2021 clarifying that Perkins loans which have been in default for two or more years must be assigned by June 30, 2022. This will result in larger numbers of Perkins loans being transferred from our campuses to the Department. The . Perkins Assignment and Liquidation Guide. states that when a campus assigns a ...
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.
The Perkins Assignment and Liquidation Guide (Guide) has been updated and restructured Reflects the changes for transitioning the Campus-Based programs to the COD System Provides clarity and detail on various steps in the process of assignment and liquidation The Guide is divided into two parts:
Perkins Liquidation and Assignment information is highlighted in an orange box on the right side of the page. ... If you have questions about the Perkins Loan Assignment Form, contact the Federal Perkins Loan Servicer - School Customer Service by phone at 1-844-301-2620 or by email at [email protected]. Publication Date: 1/14/2019.
Section 668.26, and the procedures contained in the Federal Perkins Loan Program Assignment and Liquidation Guide, from the date of the University's notification of its intent to liquidate its Perkins loan program through April 6, 2017. University management is responsible for ensuring compliance with the
Every loan with an outstanding balance in the Perkins Loan program must be accounted for. Consider close-out options that could benefit your higher education institution. ... The Department of Education's Assignment and Liquidation Guide can help you understand options for assigning loans with missing information. Develop an exit strategy ...
Perkins Loan Program Assignment and Liquidation Guide are as follows: 1. We inspected the documents that the University used to notify the Department of Education of its intent to liquidate its Perkins loan portfolio. 2. We inspected all outstanding loans included within batches after the submission of the last
For more details on Perkins Loan Portfolio Liquidation and Assignment, see the Federal Perkins Loan Program Assignment and Liquidation Guide is available on the Knowledge Center. Terms of assignment. If the Department accepts the assignment of a loan, it will give the school written notice to that effect.