Program authority
The Secretary shall carry out a program assisting in the maintenance of funds at institutions of higher education for the making of loans to undergraduate students in need to pursue their courses of study in such institutions or while engaged in programs of study abroad approved for credit by such institutions. Loans made under this part shall be known as “Federal Perkins Loans”.
Authority to make loans
In general
Loans for new undergraduate Federal Perkins Loan borrowers
section 1087e(a)(2) of this titleThrough , an institution of higher education may make a loan under this part to an eligible undergraduate student who, on the date of disbursement of a loan made under this part, has no outstanding balance of principal or interest on a loan made under this part from the student loan fund established under this part by the institution, but only if the institution has awarded all Federal Direct Loans, as referenced under subparagraphs (A) and (D) of , for which such undergraduate student is eligible.
Loans for current undergraduate Federal Perkins Loan borrowers
section 1087e(a)(2)(A) of this titleThrough , an institution of higher education may make a loan under this part to an eligible undergraduate student who, on the date of disbursement of a loan made under this part, has an outstanding balance of principal or interest on a loan made under this part from the student loan fund established under this part by the institution, but only if the institution has awarded all Federal Direct Stafford Loans as referenced under for which such undergraduate student is eligible.
Loans for certain graduate borrowers
Through , with respect to an eligible graduate student who has received a loan made under this part prior to , an institution of higher education that has most recently made such a loan to the student for an academic program at such institution may continue making loans under this part from the student loan fund established under this part by the institution to enable the student to continue or complete such academic program.
No additional loans
An institution of higher education shall not make loans under this part after .
Prohibition on additional appropriations
No funds are authorized to be appropriated under this chapter or any other Act to carry out the functions described in paragraph (1) for any fiscal year following fiscal year 2015.
Pub. L. 89–329, title IV, § 461Pub. L. 99–498, title IV, § 405(a)100 Stat. 1439 Pub. L. 102–325, title IV, § 461(a)(2)106 Stat. 576 Pub. L. 105–244, title IV, § 461112 Stat. 1720 Pub. L. 110–315, title IV, § 461122 Stat. 3265 Pub. L. 114–105, § 2(a)(1)129 Stat. 2219 (, as added , , ; amended –(c), , ; , , ; , , ; , , .)
Editorial Notes
Prior Provisions
Pub. L. 89–329, title IV, § 461Pub. L. 92–318, title I, § 137(b)86 Stat. 273 Pub. L. 94–482, title I, § 130(a)90 Stat. 2146 Pub. L. 96–49, § 5(d)(1)93 Stat. 352 Pub. L. 96–374, title IV, § 44194 Stat. 1436 Pub. L. 99–498A prior section 1087aa, , as added , , ; amended , (b), , ; , (2), , ; , title XIII, § 1391(a)(1), , , 1503, authorized a program to establish and maintain funds at institutions of higher education for making low-interest loans to students, prior to the general revision of this part by .
section 461 of Pub. L. 89–329section 403 of this titleAnother prior amended former .
Amendments
Pub. L. 114–105, § 2(a)(1)(A)2015—Subsec. (a). , substituted “assisting in the maintenance of funds at institutions of higher education for the making of loans to undergraduate students in need” for “of stimulating and assisting in the establishment and maintenance of funds at institutions of higher education for the making of low-interest loans to students in need thereof”.
Pub. L. 114–105, § 2(a)(1)(B)Subsec. (b). , added subsec. (b) and struck out former subsec. (b). Prior to amendment, text read as follows:
“(1) For the purpose of enabling the Secretary to make contributions to student loan funds established under this part, there are authorized to be appropriated $300,000,000 for fiscal year 2009 and for each of the five succeeding fiscal years.
“(2) In addition to the funds authorized under paragraph (1), there are hereby authorized to be appropriated such sums for fiscal year 2015 and each of the 5 succeeding fiscal years as may be necessary to enable students who have received loans for academic years ending prior to , to continue or complete courses of study.”
Pub. L. 114–105, § 2(a)(1)(C)section 1087bb of this titlesection 1087cc of this titleSubsec. (c). , struck out subsec. (c). Text read as follows: “Any sums appropriated pursuant to subsection (b) of this section for any fiscal year shall be available for apportionment pursuant to and for payments of Federal capital contributions therefrom to institutions of higher education which have agreements with the Secretary under . Such Federal capital contributions and all contributions from such institutions shall be used for the establishment, expansion, and maintenance of student loan funds.”
Pub. L. 110–315, § 461(1)2008—Subsec. (b)(1). , substituted “$300,000,000 for fiscal year 2009 and for each of the five succeeding fiscal years” for “$250,000,000 for fiscal year 1999 and such sums as may be necessary for each of the 4 succeeding fiscal years”.
Pub. L. 110–315, § 461(2)Subsec. (b)(2). , substituted “2015” for “2003” in two places.
Pub. L. 105–244, § 461(1)1998—Subsec. (b)(1). , substituted “1999” for “1993”.
Pub. L. 105–244, § 461(2)Subsec. (b)(2). , substituted “2003” for “1997” in two places.
Pub. L. 102–325, § 461(a)(2)1992—Subsec. (a). , (b), inserted “or while engaged in programs of study abroad approved for credit by such institutions” after “in such institutions” and substituted “Federal Perkins Loans” for “Perkins Loans”.
Pub. L. 102–325, § 461(c)Subsec. (b). , amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows:
“(1) For the purpose of enabling the Secretary to make contributions to student loan funds established under this part, there are authorized to be appropriated $268,000,000 for fiscal year 1987 and such sums as may be necessary for each of the 4 succeeding fiscal years.
“(2) In addition there are hereby authorized to be appropriated such sums for fiscal year 1991 and each of the five succeeding fiscal years as may be necessary to enable students who have received loans for academic years ending prior to , to continue or complete courses of study.”
Statutory Notes and Related Subsidiaries
Effective Date of 1998 Amendment
Pub. L. 105–244Pub. L. 105–244section 3 of Pub. L. 105–244section 1001 of this titleAmendment by effective , except as otherwise provided in , see , set out as a note under .
Construction of 2015 Amendment
Pub. L. 114–105, § 2(a)(2)129 Stat. 2220