Federal Nursing Loan and information regarding the expired Perkins Loan program

Federal Nursing Loan

The Federal Nursing Student Loan (NSL) may be awarded to students who have filed the FAFSA and demonstrate financial need. Applicants must be accepted to the third or fourth year of Augustana's traditional nursing program or the accelerated nursing program.

  • The maximum annual loan amount is $5,200.
  • The NSL interest rate is fixed at 5%. No interest accumulates on the loan while the student is enrolled at least half-time.
  • The NSL will stay begin repayment 9 months following graduation or if enrollment dips below halftime. If a student changes from a Nursing major to another major the NSL becomes repayable immediately.
  • There are no cancellation provisions for the NSL program.

If you were awarded a Nursing loan you will need to: 

  • Complete verification of your current FAFSA. A letter with details will be sent to your home address.
  • Complete an Entrance Counseling form, please click here.
  • Before the Federal Nursing loan can be disbursed you will need to complete a Master Promissory Note. This will be done in the Office of Financial Aid a week prior to your classes starting. 

Federal Perkins Loan

The Federal Perkins Loan program expired September 30, 2017. Any student who received a Fall 2017 Perkins Loan disbursement prior to September 30, 2017, is eligible for their Spring 2018 loan disbursement. 

The Federal Perkins Loan was awarded to students based on financial need. The loan is made with government funds with a share contributed by Augustana University.

Repayment of a Federal Perkins Loan:

  • Repayment of a Federal Perkins Loan borrowed while you were attending Augustana will be repaid to our 3rd party servicer, UNISA.
  • Repayment begins 9 months after graduation or ceasing attendance at half half-times. 
  • The interest rate is fixed at 5%
  • Standard repayment is 10 years
  • Some borrowers qualify for a full or partial cancelation of their loan for working in a high need filed. Contact UNISA for more information at 800.875.8910
  • Be enrolled at least half-time in a degree-seeking program

Federal Perkins Loan Borrower Disclosures:

As required by the Federal Perkins Loan Program Extension Act of 2015 (the Extension Act), enacted on December 18, 2015, institutions must make the following disclosures available to Federal Perkins Loan borrowers.

The Federal Perkins Loan program has been extended through September 30, 2017. In addition to disclosures required under 34 CFR 674.16, under the Extension Act, a school must provide the following disclosures to each Federal Perkins Loan borrower before it makes the first disbursement of a Federal Perkins Loan.
 
The disclosures are as follows: 
 
The Federal Perkins Loan program will expire September 30, 2017. No new loans will be granted after this date and future extensions to the Federal Perkins Loan program are prohibited.Repayment and forgiveness benefits are available to Federal Direct Loan borrowers are NOT available to Federal Perkins Loan borrowers. A Federal Perkins Loan borrower is eligible to consolidate their Federal Perkins Loan(s) into a Direct Consolidation Loan. Please click here for additional information and for the benefits of consolidation: https://studentaid.ed.gov/sa/repay-loans/consolidation As of June 30, 2016, these are the interest rates for:
Federal Direct Subsidized Loans – 4.45%
Federal Direct Unsubsidized Loans – 4.45%
Federal Perkins Loans – 5%
Students can review all Federal loan aggregate borrowing limits here.
Please note that we are required to award a Federal Direct Loan (subsidized/unsubsidized) as part of your Federal Perkins Loan award. You have the right to decline/adjust these Federal Direct Loan amounts as you see fit but these awards may still impact your Federal Perkins Loan amount eligibility.
 
Click here for a printable version of this disclosure.

For additional questions please contact our office at 605.274.5216