In a recent blog post, we talked a little about the Federal Student Aid Programs that don’t require repayment. But, even if you qualify to receive a grant or begin a work-study program, chances are, you’ll still probably need additional funds.

Filling out FAFSA will also help determine your eligibility for a number of loans. Let’s take a look at one of my favorites:

Federal Perkins Loan
This is a loan with a super-low 5% fixed-interest rate, with the ­college serving as the lender. You don’t have to pay your principal and interest charges if you’re enrolled at least half-time.

Eligibility based on financial need. And, even though your financial need is determined by the U.S. Department of Education and the info you provide on your FAFSA, your school’s financial aid administrator has a big say in determining the amount of Perkins loans to award.

Undergraduates can qualify for up to $4,000 annually with a maximum limit of $20,000 for the whole of your undergraduate education. Graduate students can qualify for up to $6,000 with a maximum of $40,000, including undergraduate loans.

And, you start making payments nine months after you graduate, or from the time your enrollment falls below half-time status. Repayment can take up to 10 years.

The extra perk in the Perkins Loan? Students who get involved in certain fields like public, military or teaching service employment may be eligible to have all or part of their loans CANCELLED! It’s one of those “you scratch America’s back, America will scratch yours” deals.

Sounds good to me!

Anyhoo, keep on the lookout for our next installment where we’ll explore Federal Stafford Loans.