Federal Perkins Due Diligence

SUBJECT: Federal Perkins Due Diligence This assessment outlines the Perkins due diligence process. If you identify areas requiring a corrective action, we recommend that you complete an Action Plan. Activity Bar: Perkins Due Diligence Activity 1: Exit Interview Perkins Due Diligence Activity 2: Grace Periods Perkins Due Diligence Activity 3: Billing Activity Perkins Due Diligence Activity 4: Due Diligence Worksheet Additional Links: 2024-2025 FSA Handbook, Volume 6, Campus-Based Programs, Chapters 3 and 5 (digital version); pdf version For reference, the table below lists the regulatory areas related to Perkins Due Diligence. The left column shows the title of the regulatory section and summarizes the main content of some of the sections. The middle column includes a link to each regulatory section in the Electronic Code of Federal Regulations and any related guidance posted in the Knowledge Center. Where applicable, the associated assessment activity is listed in the third column.

Perkins Due Diligence Regulations

Section Title

Links

Assessment Activity

Default Status and Student Eligibility

  • Closed School Discharge 34 CFR 674.33(g)

  • Rehabilitation 34 CFR 674.39

Due Diligence - general requirements 34 CFR 674.41(a) Mandatory Assignment 34 CFR 674.8(d)(3)

Disclosure of Repayment Information 34 CFR 674.42(a)

Exit Counseling 34 CFR 674.42(b)

Contact with borrower during Grace Periods 34 CFR 674.42(c)

Billing Procedures 34 CFR 674.43

Late Charges 34 CFR 674.43(b)(2)

Notice of overdue payments 34 CFR 674.43(b), (c) and (d)

Loan Acceleration 34 CFR 674.43(e)

Telephone Contact 34 CFR 674.43(f)

Address Searches 34 CFR 674.44

Collection Procedures 34 CFR 674.45

Litigation Procedures 34 CFR 674.46

Costs chargeable to the fund 34 CFR 674.47

Use of contractors to perform billing and collection or other program activities 34 CFR 674.48

Bankruptcy of borrower 34 CFR 674.49

Assignment of defaulted loans to the United States 34 CFR 674.50

Last Modified: 11/25/2024