Important Repayment Policies

• All correspondence regarding your Perkins Loan should be addressed to the Perkins Loan Collection office.
• You have the right to request deferments, postponements, and cancellations which must be submitted to this office prior to your due date. Please refer to the related section below for more information.
• The University of West Georgia has the right to accelerate or request payment in full on any delinquent loan.
• Payments received after the 15th of the month are subject to late charges.
• It is your obligation to notify this office of any changes in your name, address, and telephone number. Failure to contact this office regarding these changes and subsequent failure to receive monthly statements does not justify failure to remit payment.
• You are responsible for contacting this office prior to your due date if you cannot make a payment or if you believe a payment will be delayed.

Hardship Repayment Options

Upon written request, if a borrower qualifies as a low-income individual during the repayment period, the school may extend the repayment period for up to an additional ten (10) years and may adjust any repayment schedule to reflect the borrowers income. Upon the borrower's written request, the school may extend the repayment period if, in its opinion, prolonged illness or unemployment prevent the borrower from making the scheduled repayments during which time interest will continue to accrue.

The school may permit the borrower to pay less than the minimum monthly repayment rate for a period of not more than one year at a time if borrower experience a period of prolonged illness or unemployment except such action may not extend the repayment period beyond 10 years.

Grace Periods

The initial grace period before beginning repayment is 9 months. If a borrower is Less-Than-Half-Time with an outstanding Federal Perkins Loans, repayment begins when the next scheduled installment is due.

If a borrower is Less-Than-Half-Time with no outstanding Federal Perkins Loan, the repayment begins the earlier of: 9 months from the date the loan was made, or 9 months from the date the borrower became less than a half-time student, even if the borrower received the loan after borrower became a less than half-time student. Payments will resume after a post-deferment grace period of 6 months that follows deferments that apply to Federal Perkins Loans.

Prepayment

Borrower may repay all or any part of unpaid loan balance, plus any accrued interest, at any time without penalty. Amounts borrower repay in the academic year in which the loan was made and before the initial grace period has ended will be used to reduce the amount of the loan and will not be considered a prepayment.

If borrower repays amount during the academic year in which the loan was made the initial grace period ended, only those amounts in excess of the amount due for any repayment period shall be considered a prepayment. If, in an academic year other than the award year in which the loan was made, borrower may repay more than the amount due for an installment, the excess will be used to repay principal unless borrower designated it as an advance payment of the next regular installment.

Minimum Monthly Payment

Borrower will make a minimum monthly repayment of $40 (or $30 if borrower has outstanding Federal Perkins loans made before October 1, 1992 that included the $30 minimum payment option) if required by the school. If the total monthly repayment rate on this loan and any outstanding Federal Perkins loan a borrower may have is less than the minimum monthly repayment rate established by the school, the school may still require a minimum monthly repayment rate.

A minimum monthly repayment amount will combine the borrowers obligation on this and all borrowers outstanding Federal Perkins loans, including those made at other schools. The portion of the minimum monthly payment that will be applied to this loan will be the difference between the minimum monthly payment and the total amounts owed at a monthly rate on other Federal Perkins loans. If each school holding any outstanding Federal Perkins loans exercises the minimum monthly payment option the minimum monthly repayment will be divided among the schools in proportion to the amount of principal advanced by each school.

Forbearance

Upon making a properly documented written request to our Perkins Loan Collections office borrower is entitled to forbearance of principal and interest or principal only, renewable at intervals up to 12 months for periods that collectively do not exceed three years, under the following conditions:

• If borrowers monthly Title IV loan debt burden equals or exceeds 20% of my total monthly gross income:
• if the Secretary authorizes a period of forbearance due to a national military mobilization or other national emergency;
• or if the school determines that borrower qualify due to poor health or for other reason, including service in AmeriCorps.

Interest accrues during any period of forbearance.

Deferments

For more information regarding deferments, please see the section below on Deferments, Postponements, and Cancellations.

We report the status of all outstanding loans to Equifax Credit Service each month. The credit rating you earn with this loan will help determine your ability to make major credit purchases in the future.

Due Date

Your monthly payment is always due on the 15th of the month. Return the top portion of your statement with a check. Please remember to write your account number on your check.

Due Diligence

Monthly statements are mailed to all borrowers in repayment on the 22nd day of the month, with payments being due on the 15th day of the following month.

An account is considered past due after the drop-add period in the semester. A hold is placed on all past due accounts which will prohibit the student from registering for any future semesters or from obtaining an official transcript from the University until the account is paid in full.

All past due accounts are subject to possible administrative drop and/or referral to an outside Collection Agency for collection. If an account is referred to an outside agency, the student is responsible for paying the cost of collection to the collection agency, and the account is reported to a national credit bureau.

This office refers delinquent accounts to two collection agencies, Coast Professional, Inc., and Williams & Fudge, Inc., on a regular basis. When an account has been referred for outside collection the borrower must make repayment arrangements with the agency and, as detailed in the Promissory Note, is responsible for the additional collection charges at the rate of 33.3% for a first-time referral.

Our William & Fudge, Inc. (W&F) representative may be contacted at:

1-800-849-9791

Our Coast Professional, Inc. (Coast) representative may be contacted at:

1-888-740-6050

We can often suggest a painless solution to avoid damaging your credit rating. The Perkins Loan representative can be reached by email at: studentaccounts@westga.edu.

Penalty Situations

The United States Department of Education, which governs this student loan, assists our office in collection of delinquent and defaulted Perkins Loans. We are obligated to notify our past due borrowers of the following penalties:

• Delinquent or defaulted student loans will result in a poor credit rating for the borrower.
• A poor credit rating will prevent you from purchasing a car, obtaining a mortgage on a house, or acquiring a loan for business.
• Even if defaulted loan information is removed from your credit record, the loan must be repaid.
• Defaulting on your loan can lead to lawsuits, and/or garnishment of wages.
• Defaulted borrowers are ineligible for any additional financial aid packages, or loan deferments.
• Penalties for defaulting on a student loan can follow you into old age, resulting in your ineligibility to receive Medicare and Medicaid reimbursements.

We want to help our borrowers avoid a poor credit rating and the resulting economic hardships. Please contact the Perkins Loan Collection Office immediately to discuss a feasible repayment plan.

(The following information can be found on the original Promissory Note signed by the borrower)

Requests

To receive a deferment, cancellation, or forbearance benefits, the borrower must make written request to the University of West Georgia and must submit to this institution any documentation the school requires to prove the eligibility of the borrower for these benefits. The borrower is responsible for submitting the appropriate requests on time, and benefits may be lost and late fees charges may be assessed if the borrower fails to file the request on time.

Deferments

Upon making a properly documented written request to the school, the borrower may defer making scheduled installment payments and will not be liable for any interest that might otherwise accrue:

1. during any period that the borrower is enrolled and attending as a regular student in at least a half-time course of study at an eligible school; enrolled and attending as a regular student in a graduate fellowship program approved by the Secretary; engaged in graduate or post-graduate fellowship-supported study outside the U.S.; enrolled and attending a rehabilitation training program for disabled individuals approved by the Secretary; engaged in public service that qualified the borrower to have part or all of the loan canceled;
2. for a period not to exceed three years during which the borrower is seeking but unable to find full-time employment;
3. for a period not to exceed three years during which the borrower is experiencing an economic hardship as determined by this school.

The borrower is not eligible for a deferment while serving in a medical internship or residency program. The borrower may continue to defer making scheduled payments and will not be liable for any interest that might otherwise accrue for a six-month period immediately following the expiration of any deferment period described above.

Cancellation

Upon making a properly documented written request to the University of West Georgia, the borrower is entitled to have up to 100% of the original principal loan amount of this loan canceled if the borrower performs qualifying service in the areas listed below. Qualifying Service must be performed after receiving the loan.

Teaching

• A full-time teacher in a public or other non-profit elementary or secondary school, that has been designated by the Secretary in accordance with the provisions of section 465(a)(2) of the Act as a school with a high concentration of students from low-income families.
• A full-time special education teacher in a public or nonprofit elementary or secondary school system.
• A full-time teacher in a public or other nonprofit elementary or secondary school system, who teaches mathematics, science, foreign languages, bilingual education, or any other field of expertise that is determined by the State Department of Education to have a shortage of qualified teachers in that State.

Early Intervention Services

A full-time qualified professional provider of early intervention services in a public or other nonprofit program under public supervision by a lead agency as authorized by section 672(2) of the Individuals with Disabilities Education Act. Early Intervention Services are provided to infants and toddlers with disabilities.

• Law Enforcement or Corrections Officers
• A full-time law enforcement officer for an eligible local, State, or Federal law enforcement agency
• A full-time-corrections officer for an eligible local, State, or Federal corrections agency.
  Nurse or Medical Technician
• A full-time nurse providing health care services
• A full-time medical technician providing health care services.

Child or Family Service Agency

A full-time employee of an eligible public or private non-profit child or family service agency who is providing or supervising the provision or services to high-risk children who are from low-income communities and the families of such children.

Head Start

Upon making a properly documented written request to the school, the borrower is entitled to have up to 100 % of the original principal loan amount canceled for qualifying service performed after the borrower receives the loan as a full-time staff member in the educational component of a Head Start program which is operated for a period comparable to a full school year which pays a salary comparable to an employee of the local educational agency.

Military

Upon making a properly documented written request to the school, the borrower is entitled to have up to 50% of the principal amount of this loan canceled for qualifying service performed after receiving the loan as a member of the Armed Forces of the United States in an area of hostilities that qualifies for special pay under section 310 of Title 37 of the United States Code.

Volunteer Services

Upon making a properly documented written request to the school, the borrower is entitled to have up to 70% of the original principal loan amount of this loan canceled for qualifying service performed after borrower received the loan as a volunteer under the Peace Corps Act or a volunteer under the Domestic Volunteer Services Act of 1973 (ACTION programs).

Death and Disability

In the event of the borrower’s death, the school will cancel the total amount owed on this loan. If the borrower becomes permanently and totally disabled after receiving the loan, the school will cancel the total amount owed on this loan.

For seriously past due accounts we invoke the Acceleration Clause of the Promissory Note. At this time the entire principle, interest, and accumulated late charges are due in full.

Your Rights and Responsibilities as a Federal Perkins Loan Borrower

A Federal Perkins loan is a serious legal obligation. Therefore, it is extremely important that you understand your rights and responsibilities and you agree to honor them. You must respond promptly to any communications you receive regarding your Federal Perkins loan until it is paid in full. Report any of the following changes immediately by e-mailing the information to studentaccounts@westga.edu.

• your name changes
• you transfer to another school
• your address changes
• you withdraw from school
• your parent's address changes
• you join the military service
• you drop below full-time student status
• you join the Peace Corps
• you enter into a teaching contract
• you become disabled

At the time you leave school, or just prior to it, you are entitled to an exit interview. During this interview, your repayment schedule is executed and made a part of your promissory note. Your first payment is due 9 months from the date you leave school or drop below half-time status, whichever comes first. As payments become due, interest accrues on your unpaid balance at an Annual Percentage Rate of 5%. Payments are based upon the total amount borrowed and are subject to a minimum of $40.00 for monthly payers or $120.00 for quarterly payers.

If at any time you are unable to make a scheduled payment on time, you should contact the school by phone or in writing immediately. You always have the right to prepay all or any portion of your indebtedness without a penalty.

Your promissory note allows for deferment of your repayments and cancellation of all or part of your loan under certain circumstances. We approve these benefits upon receipt of an application form from you. We'll send you an application upon your request. We'll process it promptly upon receipt. We'll then send you an approval or disapproval with an explanation for our action, along with the due date of your next payment or application form. Do not allow payments to become past due because you think you are entitled to deferment or cancellation.

Your loan is one of the first opportunities to establish good credit. According to federal law we've notified a national credit bureau of this debt, and your co-maker's also, if applicable. We send updates to the credit bureau for the life of your loan. A favorable rating on this loan will put you in good standing when you need credit elsewhere. A bad rating will affect both you and your co-maker. Credit bureau ratings and loan administration are extra work and expense for us. But it's work we're glad to do to help you establish good credit.

We hope you agree that this loan is a serious business transaction that deserves to be treated in a professional manner by both of us.

Email the Perkins Loan Office at studentaccounts@westga.edu.

Be sure to include your name and UWG Student ID number on all correspondence.