Low-interest educational loans which must be repaid, are available from government and private lenders. Major loan programs include:

Federal Perkins Loan

The Federal Perkins Loan is a need-based loan. For undergraduate students, priority is given to Pell Grant recipients. No interest accrues on this loan until you begin repayment. More information.

Direct Subsidized and Unsubsidized Loans

Also known as Direct Stafford Loans, these loans are offered by the U.S. Department of Education rather than a bank. If you qualify for a subsidized loan, the government will pay the interest while you're in school. Unsubsidized loans require that you pay the accrued interest. More information.

Direct PLUS Loan (parent loan)

The PLUS Loan is a federal loan for parents of dependent students. They are disbursed through the U.S. Department of Education with a fixed interest rate. More information.

SELF Loans

The Minnesota Student Education Loan Fund (SELF) requires a credit-worthy co-signer and payment of interest while the borrower is in school. More information.

How much should you borrow?

It’s best to avoid borrowing more than you’ll be able to repay after graduation. A reasonable monthly student loan payment should not exceed 8% of your monthly income. See the additional resources on the Minnesota Office of Higher Education website.