Minnesota Student Loan Options
Finance Your College at the Lowest Cost
The State of Minnesota recognizes that many of its residents must supplement their college tuitions with generous support from the federal government and from other sources, including their own innovative loan program. Minnesota students are statistically one of the larger populations with more student loan debt in comparison to their peers in other states.
The Minnesota Office of Higher Education is a state-run not-for-profit agency whose goal is to offer a wide and comprehensive range of information on college finances, from initial planning stages through paying off the loans ten or fifteen years beyond graduation.
SELF Loan is Specially Designed for Minnesota Students
The Minnesota Student Educational Loan Fund (SELF) falls somewhere in the spectrum between federal student loan programs and private, high-end loans. This is a low-cost, affordable private loan specifically designed for Minnesota college students. Borrowers must have good credit to be approved, which includes a low debt-to-income ratio. Many students don’t qualify on their own merit, and must seek a co-borrower. Parents, other relatives, even trustworthy friends may act on your behalf in this situation. Make sure you and your co-borrower understand the details of the loan before you sign on the dotted line.
Eligibility
Applicants may be undergraduate or graduate students who live in Minnesota and who are going to school anywhere in the U.S. or Canada; or an out of state student enrolled in a Minnesota college or university to qualify for the SELF loan. In fact, in order to facilitate the loan process, applicants must check with their college financial aid office for the proper procedure for making the MN SELF loan a reality. Online applications make it quick and painless to apply.
SELF borrowers may take out a maximum equal to the full tuition, but all federal students loan funds must be applied first. The bare minimum for the loan is $500. In fact, all students are required to apply for their federal loans before they may apply for alternative loans.
Payment Terms
As soon as the loan is disbursed, meaning it is paid out to the institution, borrowers are expected to being making payments on the interest. Payments on the principal are not due until 6 months following graduation. This typical grace period allows new grads a chance to find a job and a place to live before student loans come crashing in.
Other Services of MOHE
Other duties of the Minnesota Office of Higher Education include providing up to the minute information on current college financial resources such as student loans, scholarships and grants and loan repayment programs. Students can also use online calculators to plan for realistic college spending and predict loan payments, even check on the latest interest rates.
Minnesota students and parents are encouraged to get all the information they need on the Federal Family Education Loan Program, as well as size up the loans’ various features.
