Current Interest Rates
The Bipartisan Student Loan Certainty Act of 2013 amends the Direct Loan interest rate section of the Higher Education Act of 1965, as amended (the HEA). Direct Loans include: Direct subsidized/unsubsidized loans, Parent and Grad PLUS, and Consolidation loans. This law pegs Direct Student Loan interest rates to the 10-Year Treasury Note index. New Direct Loan rates will be set each July 1st for new loans taken out in that year.
Historical Interest Rates
The College Cost Reduction and Access Act of 2007 reduced the interest rates on subsidized Stafford Direct loans for undergraduate students starting July 1, 2008. These reductions were available only to undergraduate students for only subsidized Direct loans, not unsubsidized Stafford loans.
All federal student loan interest rates from 2007 through 2013 are listed in the chart below.
Federal Student Loans Rates: 2007 through 2013
|Loan Type||Student Grade Level||2012-13||2011-12||2010-11||2009-10||2008-09|
|Subsidized Loans||Graduate Students||n/a||n/a||6.8%||6.8%||6.8%|
|Unsubsidized Loans||Graduate Students||6.8%||6.8%||6.8%||6.8%||6.8%|
|PLUS Loans||Parents of Dependent Undergraduates and Graduate/Professional Students||7.9%||7.9%||8.5%||8.5%||8.5%|
|Consolidation Loans||Interest rate is the weighted average of the interest rates of the loans included in the consolidation, rounded up to the next higher one-eighth of one percent, capped at 8.25%.|
|Federal Perkins Loans 2013-2014 Interest Rates|
|Perkins Loans||Undergraduate and Graduate||5.0%||5.0%||5.0%||5.0%||5.0%|