WINONA, Minn. (KMSP) - A new student loan refinancing program is now available to Minnesota residents, and Lt. Governor Tina Smith says college graduates could save as much as $200 per month. The SELF Refi program is managed by the Minnesota Office of Higher Education and funded through the sale of bonds. The launch of the program was announced Thursday morning at Winona State University.
“Minnesota ranks fifth highest in the country for student loan debt, with the typical student carrying an average of $31,579 in debt,” said Lt. Gov. Smith. “This is an important first step to improve college affordability and increase educational opportunities for all students.”
- Minnesota resident.
- Completed at least one postsecondary credentialed program.
- Have at least $10,000 in qualified student loans.
- Current on all of your credit obligations.
Eligibility also depends on other factors, like your credit report and debt-to-income ratio. It is anticipated that the majority of all student loans will qualify.
SELF Refi rates
Loan terms of 5, 10 and 15 years will be available to eligible borrowers, with current interest rates ranging from 3 percent for a 5-year variable to 6.95 percent for a 15-year fixed rate. That means a borrower eligible for the lowest rates, with $40,000 in student loans at 8 percent interest, could save as much as $200 a month through the SELF Refi program.
More than 1,500 people logged on to the SELF Refi site within hours of its launch Thursday morning.
More information is available at www.selfrefi.state.mn.us