Student Educational Loan Fund, Inc.

1815 WordsJul 24, 20098 Pages
A Minnesota Student Loan Program www.selfloan.org Table of Contents About the Program Eligibility How to Apply Loan Size Loan Example Costs to the Borrower Loan Repayment Loan Servicer 1 1 3 4 5 5 6 9 This document can be made available in an alternative format to individuals with disabilities by calling (651) 642-0567. March 2008 About the Program The Student Educational Loan Fund, or SELF Loan, can help you pay for your education beyond high school. The program is administered by the Minnesota Office of Higher Education and can be used only for educational purposes. It is a loan, not a scholarship, so it must be repaid. Eligibility An eligible student must: • be enrolled in an eligible school in Minnesota or be a…show more content…
Cumulative Borrowing Limits The cumulative SELF Loan debt shall not exceed the following grade level limits: $ 7,500 Grade Level 1 $15,000 Grade Level 2 $22,500 Grade Level 3 $30,000 Grade Level 4 $37,500 Grade Level 5 $55,500 Grade Levels 6 to 9 (includes all undergraduate and graduate debt) Grade level is determined by the school based on the number of credits earned. 4 SELF Loan Loan Example Here is an example of how a SELF Loan can help you offset the total cost of attendance. Cost of attendance Less available financial aid Federal grants State grants Institutional assistance Private assistance Total Aid Total student obligation Maximum SELF Loan amount (based on grade level) $1,500 0 500 500 - $2,500 $7,500 $7,500 $10,000 Costs to the Borrower You must pay interest and principal on the loan. There are no guarantee, origination or processing fees charged. Interest Rate: The interest charged to you may change every quarter. The current SELF interest rate is available at www.selfloan.org. Borrowers pay an interest rate comprised of a percentage (the “margin”) that is added to the variable interest rate of the source of money (the “index”). As the index or margin increases or decreases over time, the interest charged will increase or decrease. The index rate is tied to the three-month London Interbank Offered Rates (LIBOR). SELF Loan 5 Loan Repayment Payment of Interest: You must pay interest quarterly while in school. This is called the
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