Low-interest student loan program (HELP) establishment and appropriation

Minnesota Senate Bill SF1700, introduced on February 20, 2025, aimed to establish the Higher Education Loan Program (HELP). This program was designed to provide low-interest loans to eligible students attending Minnesota postsecondary institutions. Key provisions included: offering fixed interest rates not exceeding 3%, annual loan limits of $5,000, and a cumulative borrowing cap of $20,000 per student. The bill also proposed the creation of a special revenue fund to manage the loan program's finances. However, SF1700 did not progress beyond the committee stage and was not enacted into law.

While SF1700 itself did not pass, Minnesota demonstrated a commitment to supporting students by launching the SELF Grad Loan program in June 2026. This initiative offers low-interest loans to graduate students, with fixed rates determined by the presence of a co-signer and the chosen repayment term. The program was developed in response to federal changes, including the elimination of Grad PLUS loans, and has been positively received for addressing the financial needs of graduate students. [Source: Inside Higher Ed, June 17, 2026]

There is limited negative media coverage specifically addressing SF1700. However, broader discussions have highlighted challenges in student loan programs, such as issues with income-driven repayment plans and concerns about loan servicer practices. These critiques underscore the importance of careful implementation and oversight in any new student loan initiatives to ensure they effectively serve borrowers' needs. [Source: NPR, April 1, 2022]