During the repayment period they will be charged five percent interest on the unpaid balance of the loan principal. This agreement for a lesser amount may be due to extraordinary circumstances such as prolonged unemployment. If such student is discharged in bankruptcy, becomes totally or permanently disabled or dies, loan obligations will be canceled. Qualified applicants must be a United States citizen or eligible alien. Eligibility is based on financial need for subsidized loans.
Subsidized loans are eligible for federal interest benefits.
The federal government pays the interest until six months after graduation or the date the student ceases to be at a least half-time student. If you do not have financial need, the Direct Loan Program offers unsubsidized loans for which the interest is paid by the student. Once enrolled at Lake Superior State University, students must meet the satisfactory progress standards to be eligible for additional loans. Repayment begins six months after graduation or the date the student attends school less than half-time. Interest rates are variable, not to exceed 8.25 percent.