Shallow bays containing dense beds of wild rice are found on south, west, and northwest sides of the lake.

Public access is provided by the Minnesota Department of Natural Resources at two locations, the first on the Sandy River north of the "Pier 65" bridge, and the second on the northeast side of the lake.

The Main Basin connects to the Van Dusch Creek on the northern shore and Aitkin River and the dam in the northwest corner.

Big Sandy Lake was inhabited by the Dakota Sioux until they were forcibly removed by the Ojibwa.

In 1798, North West Company maintained a post on the western side of the lake; in 1830, American Fur Company established a post at the confluence of the Sandy River with the Mississippi River, a short distance west of the lake.

Originally located on the north shore of Big Sandy Lake, the village of Gaa-mitaawangaagamaag was the western terminus of the Northwest Trail that connected the Mississippi River with the Saint Louis River; Savanna Portage State Park commemorating this historic trail is located on the northeastern shore.

In 1850, the United States attempted to remove the Ojibwa population out of Michigan and Wisconsin to areas west of the Mississippi River, resulting in the Sandy Lake tragedy in which several hundred natives died of disease, starvation and exposure.