“If this program is successful, we are optimistic it can be expanded to include more student loan borrowers in the future”.
Advertisement
According to the Governor’s Office, Minnesota is the fifth highest in the country when it comes to student loan debt, with the typical student having an average of $31,579 in debt.
Higher education officials say they’re cautious not to offer the refinance program to current students because there is no additional investment.
“By the time I graduate, I will have about 25,000 in debt”, said Burger.
“They’re only going to do to it for very creditworthy people”, he said.
The state is offering loans with repayment over five, 10 and 15 years with interest rates ranging from 3 percent to 6.95 percent.
Lt. Gov. Tina Smith made the announcement alongside Higher Education Commissioner Larry Pogemiller and state lawmakers at Winona State University on Thursday morning.
Minnesota’s lieutenant governor announced a new student loan refinancing program that is now available for Minnesota residents who are looking to reduce the debt they accrued as students.
“We’re dipping our toe in”, Pogemiller said. “Or depending on the types of loans they have, they may be able to cut of $30,000-50,000 in total debt if they speed up their payments”.
“We’re using that fund to create this refinancing opportunity for those particular groups of students that got hammered in the 2005 to 2013 range”, said Pogemiller. “Minnesota’s new SELF Refi program will help student borrowers reduce their interest payments and save money”.
“If I qualify I will definitely look into it”, said Burger.
The program is called SELF Refi.You can check out if you’re eligible for it here.
To qualify, an applicant must be a Minnesota resident, have finished at least one postsecondary program and either have a FICO credit score of 720 or higher or have a co-signer who does.
Advertisement
Visit www.selfrefi.state.mn.us for more information.
