Attending college can be one of the best investments you make in your future. But it can be expensive. If you want to go to the University of Minnesota, attending will cost you $28,106 as a state resident for the 2018-19 school year.
As you consider how to pay for the University of Minnesota, you’ll need to consider your options. Many students can find scholarships and grants, and there are also other financial aid resources, such as work-study programs and federal and private student loans.
Here’s what you need to know about paying for college at the University of Minnesota.
|Costs of attending the University of Minnesota|
|Tuition and fees (in-state)||$14,760|
|Room and board||$9,910|
|Net cost (after aid)||$14,953|
|Typical debt after graduation||$20,185|
|All data current as of Aug. 22, 2018. Sources: CollegeData, University of Minnesota, College Scorecard|
Unlocking financing options: The FAFSA
Your first stop as you look for funding to pay for school at the University of Minnesota is the Free Application for Federal Student Aid (FAFSA).
On the FAFSA, you’ll answer questions about your family’s financial situation. That information will be used to determine the federal aid for which you qualify. In some cases, your answers on the FAFSA are also used by states and individual schools to determine additional need-based financial aid.
You can’t access federal programs such as grants, student loans, and work-study without filling out the FAFSA. In Minnesota, state student aid programs are available after you’ve completed a FAFSA.
Grants for University of Minnesota students
A grant is money that doesn’t have to be paid back. To receive federal or state government grants for the University of Minnesota, you need to fill out your FAFSA. You may then be eligible for aid based on your financial need.
The Minnesota State Grant awarded $173 million in state grants during 2016, so there’s a chance that you’ll receive financial help if your family shows need. Our guide to state grants can be a great place to start your search for aid.
Here are some of the grants for which you might be eligible, based on the information in your FAFSA:
- Federal Pell Grants: As an undergrad, you might be eligible for a Pell Grant, which awards up to $6,095, based on your family’s financial need.
- Federal Supplemental Educational Opportunity Grants: Depending on your need, you might be able to get up to $4,000 a year to help you pay for the University of Minnesota.
- Minnesota State Grant: Awards vary based on what your family can be expected to contribute and the cost of attending school. For the 2016-17 school year, the average award was about $1,857. But if you have greater need, you might receive more.
- Minnesota Teacher Candidate Grant: If you plan to teach after finishing school, you might be eligible for this grant, which offers up to $7,500 for one term.
- Child Care Grant: If you have children and need to find care for them while you attend school, you can get up to $5,200 per eligible child per school year.
On top of these grants, Minnesota also offers grants for students in special circumstances, such as being dislocated for work, or for those with certain developmental disabilities. You can check with Minnesota’s Office of Higher Education for more information.
There are also many federal grants available, and you can find out more about them by visiting the U.S. Department of Education.
Scholarships for University of Minnesota students
When you receive a scholarship, you’re not expected to repay the money. There are some scholarships based on need, but you’re likely to find that many scholarships require you to meet certain requirements beyond your financial situation.
Depending on the scholarship, you might need to demonstrate academic excellence or show some other accomplishment or trait. Here are some of the scholarships available to help you pay for attending the University of Minnesota:
- Gold Scholar Award: If you’re a National Merit Finalist, you can get up to $10,000 a year with this scholarship.
- University Honors Program Scholarship: If you qualify for the Honors program, you might be eligible for up to $2,000 a year.
- Maroon and Gold Leadership Award: Get up to $12,000 each year when you show outstanding academic performance and leadership.
- Presidential Scholarship: Awards range from $1,000 to $10,000 each year and are made based on your scholarship application and academic performance.
- Minnesota Academic Excellence Scholarship: You must enroll for this scholarship during your senior year of high school. You can get the total cost of your tuition and fees covered for a year. The scholarship is renewable for up to three academic years.
The University of Minnesota also has a number of scholarships based on traits, such as gender, cultural heritage, and entrepreneurship. You can also apply for scholarships through your major department.
There aren’t as many federal scholarships available, but if you’re from a military family, or if you’re involved in ROTC, you might qualify for related scholarships.
You can work part time to help cover your costs of attending the University of Minnesota. Often, you’ll be given priority for on-campus work. To qualify, you must state that you’re interested in work-study when filling out your FAFSA.
Look for work-study jobs by visiting the Office of Human Resources. Work-study jobs are designated as such on the job board. Students can expect to work, on average, about 15 hours a week and earn $3,000 or more a year.
Minnesota also offers its own state work-study program, where you can earn about $1,903 a year.
Federal student loans
If you’ve applied for scholarships and grants and still need more money to pay for schooling, it’s possible to get a federal student loan to help you close that funding gap. You can borrow between $5,500 and $12,500 a year, depending on your year in school and other factors.
If you meet certain need-based requirements, you may qualify for a subsidized student loan, in which the government covers your interest payments while you’re in school.
If your family’s financial situation doesn’t allow you to get a subsidized loan, you can get an unsubsidized federal student loan. Your interest accrues while you’re in school, during your grace period, and during periods of deferment or forbearance.
In some cases, you might not be able to cover all your education costs with federal student loans. If your parents are willing to take out a loan to help you pay for school, they can get a Parent PLUS Loan.
|Types of undergraduate federal student loans|
|Interest covered during deferment?||Interest rate||Origination fee||Credit check?|
|Direct Subsidized Loan||Yes||5.05%||1.066%||No|
|Direct Unsubsidized Loan||No||5.05%||1.066%||No|
|Parent PLUS Loan||No||7.60%||4.264%||Yes|
|All information current as of Aug. 22, 2018. Source: Federal Student Aid|
Federal student loans come with perks, including access to income-driven repayment (IDR) plans, which can help you better manage monthly payments if you don’t find a good-paying job after graduation.
You also don’t have to worry about your credit situation when you get a federal student loan. Everyone qualifies for the same fixed rate each year. You may also qualify to have your federal loans forgiven.
Parent PLUS Loans aren’t quite as easy to get, and they cost more than student loans. But their credit requirements are fairly simple to meet. To qualify, you can’t have an adverse credit history.
University of Minnesota student loans
In some cases, you might also be able to access more loans by going directly to the University of Minnesota. Some of the loans you might be able to access as a student include:
- University Trust Fund Loan: You can borrow up to $4,000 each academic year if you take one of these loans. Interest rates vary, and you might pay up to 7.00%. Depending on your situation, your interest may or may not accrue while you’re in school. Carefully read the terms of your loan so that you understand what you’re getting.
- Self Loan: The state of Minnesota also participates in the Self Loan program and administers it for University of Minnesota students. Interest rates vary.
- Nursing Student Loan: If you’re a nursing student, you might be eligible for loans of up to $5,200 during your education. The interest rate on these loans is 5.00%.
In general, it’s best to start with federal student loans. Afterward, see if you can secure loans through the university if you still need funding help. But before you commit to a loan through the university, double-check to see if you can get a better rate through a private lender.
Private student loans
Your unique situation might make it difficult to cover all your college costs using other types of funding. As a result, you might need to turn to private student loans to help you pay for the University of Minnesota.
Private student loans are offered by banks, credit unions, and online lenders. It’s important to consider your options before moving forward with private student loans.
When you borrow privately, you don’t have access to some of the programs available with federal student loans, such as IDR and federal loan forgiveness. But some state forgiveness programs might let you include private loans.
If you have good credit, though, there’s a chance that you’ll be able to find a lower interest rate with a private student loan. If you don’t qualify for the loan or rate you want, you might be able to get the funding you need by adding a cosigner.
Parents can also take advantage of private student loans. Many lenders offer parents the option to borrow money to pay for their child’s schooling.
Shop around and compare private student loans. There aren’t standards for interest rates and term lengths, so you’ll need to weigh your options carefully. The best private student loans do offer hardship programs and other incentives, but it’s still often a better idea to max out your federal student aid before you turn to private loans.
The bottom line: Paying for the University of Minnesota
As you figure out how to pay for the University of Minnesota, make sure you review all your options. If you start planning earlier, you might be able to reduce your need for financial aid by saving money in a 529 or another type of account.
If you don’t have the savings to cover your costs of college, there are plenty of other resources to consider. Apply for scholarships and grants — and don’t forget to fill out the FAFSA. You can also look into your student loan options, including federal and private loans. Max out your federal aid before going after private student loans, though.
Because of the rising cost of college, there’s a good chance you’ll have to combine more than one strategy to help you pay for the University of Minnesota. But with careful planning and persistence, you may be able to reduce your reliance on debt to get an education.
Need a student loan?Here are our top student loan lenders of 2019!
|1 Important Disclosures for Ascent.
Before taking out private student loans, you should explore and compare all financial aid alternatives, including grants, scholarships, and federal student loans and consider your future monthly payments and income. Applying with a cosigner may improve your chance of getting approved and could help you qualify for a lower interest rate. Ascent Student Loans may be funded by Richland State Bank (RSB). Ascent Student Loan products are subject to credit qualification, completion of a loan application, verification of application information and certification of loan amount by a participating school. Loan products may not be available in certain jurisdictions, and certain restrictions, limitations; and terms and conditions may apply. Ascent is a federally registered trademark of Turnstile Capital Management (TCM) and may be used by RSB under limited license. Richland State Bank is a federally registered service mark of Richland State Bank.
* Application times vary depending on the applicants ability to supply the necessary information for submission.
2 Important Disclosures for CollegeAve.
College Ave Student Loans products are made available through either Firstrust Bank, member FDIC or M.Y. Safra Bank, FSB, member FDIC. All loans are subject to individual approval and adherence to underwriting guidelines. Program restrictions, other terms, and conditions apply.
Information advertised valid as of 2/1/2019. Variable interest rates may increase after consummation.
3 Important Disclosures for Discover.
* The Sallie Mae partner referenced is not the creditor for these loans and is compensated by Sallie Mae for the referral of Smart Option Student Loan customers.
4 = Sallie Mae Disclaimer: Click here for important information. Terms, conditions and limitations apply.
5 Important Disclosures for SunTrust.
Before applying for a private student loan, SunTrust recommends comparing all financial aid alternatives including grants, scholarships, and both federal and private student loans. To view and compare the available features of SunTrust private student loans, visit https://www.suntrust.com/loans/student-loans/private.
Certain restrictions and limitations may apply. SunTrust Bank reserves the right to change or discontinue this loan program without notice. Availability of all loan programs is subject to approval under the SunTrust credit policy and other criteria and may not be available in certain jurisdictions.
SunTrust Bank, Member FDIC. ©2019 SunTrust Banks, Inc. SUNTRUST, the SunTrust logo and Custom Choice Loan are trademarks of SunTrust Banks, Inc. All rights reserved.
6 Important Disclosures for LendKey.
Additional terms and conditions apply. For more details see LendKey
7 Important Disclosures for CommonBond.
A government loan is made according to rules set by the U.S. Department of Education. Government loans have fixed interest rates, meaning that the interest rate on a government loan will never go up or down.
Government loans also permit borrowers in financial trouble to use certain options, such as income-based repayment, which may help some borrowers. Depending on the type of loan that you have, the government may discharge your loan if you die or become permanently disabled.
Depending on what type of government loan that you have, you may be eligible for loan forgiveness in exchange for performing certain types of public service. If you are an active-duty service member and you obtained your government loan before you were called to active duty, you are entitled to interest rate and repayment benefits for your loan.
A private student loan is not a government loan and is not regulated by the Department of Education. A private student loan is instead regulated like other consumer loans under both state and federal law and by the terms of the promissory note with your lender.
If your private student loan has a fixed interest rate, then that rate will never go up or down. If your private student loan has a variable interest rate, then that rate will vary depending on an index rate disclosed in your application. If the interest rate on the new private student loan is less than the interest rate on your government loans, your payments will be less if you refinance.
If you don’t pay a private student loan as agreed, the lender can refer your loan to a collection agency or sue you for the unpaid amount.
Remember also that like government loans, most private loans cannot be discharged if you file bankruptcy unless you can demonstrate that repayment of the loan would cause you an undue hardship. In most bankruptcy courts, proving undue hardship is very difficult for most borrowers.
8 Important Disclosures for Citizens Bank.
Citizens Bank Disclosures
|4.23% – 13.23%1||Undergraduate and Graduate|
|4.20% – 11.44%2||Undergraduate, Graduate, and Parents|
|4.84% – 13.49%3||Undergraduate and Graduate|
|4.50% – 10.11%*,4||Undergraduate and Graduate|
|4.25% – 13.25%5||Undergraduate and Graduate|
|5.85% – 6.99%6||Undergraduate and Graduate|
|3.95% – 9.81%7||Undergraduate, Graduate, and Parents|
|4.45% – 12.42%8||Undergraduate, Graduate, and Parents|