What's New


Minnesota State Colleges and Universities
Student Loan Service Center
30 7th St E, Suite 350
St Paul, MN 55101-7804
Telephone #: 651.201.1500
Fax #: 651.215.3979


There are now 3 ways that a borrower can be eligible:

  1. Showing that the VA has determined the individual is unemployable due to a service connected disability.
  2. If individual is receiving SSDI or SSI Benefits the borrower can submit SSA notice of award stating individuals next scheduled disability review will be within 5 to 7 years from the date of the individuals most recent SSA disability (NEW) or
  3. Individual can submit a certification from a physician that he or she is totally and permanently disabled.

The Borrower must make a request directly to the US Department of Education by callling 1-888-303-7818 or email at disabilityinformation@nelnet.net

New Cancellation Benefits
Effective August 14, 2008 the Higher Education Opportunity Act of 2008 authorized the following new cancellation benefits for Federal Perkins Loans:

-Full-time staff members in a prekindergarten or child care program that is licensed or regulated by the state;

-Full-time public defenders;

-Full-time faculty members at a tribally controlled university;

-Librarians with a master's degree in library science who are employed in a school served under Title I of the ESEA, or a public library serving a Title I school;

-Full-time speech language pathologists with a master's degree working exclusively in Title I schools;

-Full-time firefighters;

-Member of the armed forces who served in an area of hostility.

October 1, 2006

We are pleased to announce that as of October 1, 2006, the billing and payment processing for your student loan will be handled by Educational Computer Systems Incorporated (ECSI).  [Learn more]

As of 7/1/06 there is a new deferment for Perkins loans.

U.S. Department of Education
Student Aid and Identity Theft: Safeguard Your Student Aid Information

Effective 7/1/2013 Total and Permanent Disability

New standards and procedures for granting total and permanent disability write off are in effect as of July 1, 2013. 

Automatic Direct Draft

Avoid writing monthly checks by signing up for Automatic Direct Draft.  Heartland/ECSI offers recurring payments on the 1st, 10th, 15th and 20th of the month.

For monthly payments, charges will increase to $2.00 for the first payment missed and $3.00 for each month after. For quarterly payments missed the charge will be $6.00 for the first payment missed and $9.00 for each quarter missed after that. Any check returned will be assessed a $20.00 fee.
REHABILITATION New Federal Regulations allow a Federal Perkins Loan borrower to rehabilitate a defaulted loan. The borrower must request this. To rehabilitate, 9 consecutive, on time monthly payments must be made (to be determined by the Service Center). Once the loan is rehabilitated the following will take place: ? The loan will return to regular status, restoring rights and benefits of the promissory note ? Credit Bureaus will be instructed to remove default from credit history ? The borrower may rehabilitate a loan ONE TIME ONLY For Information please call the Service Center at 651-917-4700 or email us at loans@so.mnscu.edu
If a borrower disputes the terms of his/her loan in writing and the Student Loan Service Center does not resolve the dispute, the borrower may contact: Student Ombudsman at 877-557-2575 or www.SFAHELP.ed.gov
Effective October 7, 1998 the 1998 Amendments of Higher Education changed eligibility requirements for loan cancellation. Loan cancellations previously eligible for loans disbursed after July 1992 are now available to ALL Perkins borrowers. You may be eligible if you are working full time in the following fields: Nursing; Medical Technician fields; Teacher of Mathematics, Science, Foreign Language, Bilingual Education and Special Education; and as a Law Enforcement Officer (enforcing criminal law); OR providing services: As a Qualified Professional and Provider of Early Intervention Services (as defined in section 672(2) of the Individuals with Disabilities Education Act that are provided to infants and toddlers with disabilities); to High -Risk Children (Individuals under the age of 21 who are low-income and at risk of abuse or neglect, have been abused or neglected, have serious emotional, mental, or behavioral disturbances, reside in placements outside their homes, or are involved in the juvenile justice system.

Effective 12/31/2002 Regulatory change removes the 60-month limit on payment of interest on student loans. The eligible interest-paid remains only the interest due after December 31, 1997. Interest past due as of January 1, 1998 was and is ineligible for 1098-E reporting as TRA97 interest paid.

Beginning January 1, 1998, taxpayers who have taken loans to pay the cost of attending an eligible educational institution for themselves, their spouse, or their dependent generally may deduct interest they pay on these student loans. The maximum deduction each taxpayer is permitted to take increases from $1,000 in 1998 to $2,500 in 2001 and thereafter. The following table summarizes the yearly increases. Year Maximum Deduction 1998 $1,000 1999 $1,500 2000 $2,000 2001 and thereafter $2,500

The deduction is available only for interest payments made during the first 60 months in which interest payments are required on the loan. The student loan interest deduction is available for interest payments due and made on or after January 1, 1998. Thus, the first time taxpayers will be able to claim the deduction is when they file their 1998 tax returns in 1999. No student loan interest deduction will be allowed for interest due or paid before 1998. For more information go to: www.irs.ustreas.gov/hot/not97-605.html

Effective October 7, 1998, student loans or educational debts are no longer dischargeable except for undue hardship.