Student Financial Services
Total Perkins Loan Cancellations
Bankruptcy Total Cancellation
Perkins Loans cannot be discharged in bankruptcy unless the borrower claims, and is granted, undue hardship by the bankruptcy court.
Death Total Cancellation
In the event of the borrower’s death, the entire remaining balance of the student loans will be canceled. The family should provide a death certificate or some other documentation to certify the death.
Disability Total Cancellation
The entire remaining balance of the student loans may be canceled at the request of a borrower if the lending institution and the department of education determines that the borrower has become permanently and totally disabled. Permanent and total disability is defined as the inability to work and earn money because of a medially determined impairment, if that impairment is expected to continue for an indefinite period or to result in death. Receipt of Social Security disability benefits does not automatically qualify a borrower for permanent and total disability cancellation.