Loans
Low-interest educational loans which must be repaid, are available from government and private lenders. Major loan programs include:
The Federal Perkins Loan Program
The Federal Perkins Loan Program provides long-term, five percent interest loans to undergraduate and graduate students who demonstrate financial need and enroll in participating schools. Priority is given to Pell Grant recipients.
For more information about Perkins Loans, see the Minnesota Office of Higher Education program description
Federal Stafford Loans
The Federal Stafford Loan Program has three different types of loans – subsidized student loans, unsubsidized student loans, and a loan for parents called PLUS. The Subsidized Stafford Loans are only available to students with demonstrated financial need. While the student is in school, the government pays the interest on these loans. The Unsubsidized Stafford Loan is available for all students. Loans accrue interest while the student is attending school. The PLUS loans (Federal Parent Loans for Undergraduate Students) are available to parents of dependent students. The borrowers do not have to show financial need for the program, but other requirements may apply. Parents may borrow up to the price of attendance minus any other aid the student has received.
More than 500 private lenders make these loans available to Minnesota students, including Northstar through the T.H.E. Private College Loan Program. These loans also are available as Federal Direct Stafford Loans through selected, participating schools across the country. With the direct loan, the federal government is the lender. Applications for the direct loan are available at participating schools.
For more information about Stafford loans, see the Minnesota Office of Higher Education program description
SELF Loans
The Minnesota Student Education Loan Fund (SELF) is a program unique to Minnesota. The loans are available to Minnesota students or to non-resident students attending an eligible Minnesota school. Additional information is available through the financial aid office of your college.
For more information about SELF loans, see the Minnesota Office of Higher Education program description.
T.H.E. Private College Loan Program
The T.H.E. (Total Higher Education) Private College Loan Program is a one-stop shop for college loan financing where borrowers – private college students in Minnesota – are able to borrow the funds they need at the lowest costs in the marketplace. The program offers a comprehensive package of loans for students and parents: Federal PLUS Loans for parents, Federal Stafford Loans for students, and Federal Consolidation Loans for students and parents. Features of these programs include:
- Zero fees (on most loans)
- One service provider for a comprehensive package of loans
- Financial bonuses to students as loans are repaid
- The opportunity to borrow the full cost of attendance minus other forms of financial aid
Unique to the T.H.E. Private College Loan Program is the idea that borrowers are stakeholders in the success of the program, reaping the financial rewards that result from the responsible repayment of loans. Any profit earned by the program is returned to the borrowers who created the “profit.” Students are eligible for these financial “bonuses” as soon as they enter repayment — no waiting to qualify.
Learn more about T.H.E. financing options available to Minnesota private college and university students and families seeking loan assistance.
See the Student Loan information on the Minnesota Office of Higher Education Web site.