On May 13, 2015, the U.S. Treasury held the 10-year Treasury note auction, which resulted in a decrease in the interest rate for Federal student loans disbursed on or after July 1, 2015. The rates and fees for the loans first disbursed on or after July 1, 2015 are shown in the tables below. The new interest rate is tied to the “high yield of the 10-year Treasury note” as of June 1st preceding the effective period plus a predefined add-on. The interest rate for a loan, once established, will apply for the life of the loan – that is, the loan will be a fixed-rate loan. The new interest rates for the upcoming 2015-2016 aid year are shown in the second table below:
http://www.unr.edu/financial-aid/understanding-financial-aid/loans/federal-direct-student-loan-interest-rates-and-fees
Last year President Obama signed the Bipartisan Student Loan Certainty Act of 2013, which amended section 455(b) of the Higher Education Act (HEA) to provide new formulas for the determination of interest rates for all Federal Direct Loan types.
http://ifap.ed.gov/eannouncements/051514IntRatesForDLFirstDisbBtwnJuly12014June302015.html
Congress sets interest rates on Direct Loans from the U.S. Department of Education through legislation that ties the rate to financial markets. Your student loan servicer does not set your student loan interest rate and cannot change it. • The average federal student loan debt of a 4-year college student is $26,830 * . Use the charts on the back to help estimate your monthly payment amount.
http://www.sacn.edu/pdfs/InterestRates.pdf
As noted, the add-on differs depending on the type of loan and the student’s grade level. Each loan type is also subject to a maximum interest rate (or cap). The interest rate for a loan, once established, applies for the life of the loan – that is, the loan is a fixed-rate loan.
http://ifap.ed.gov/eannouncements/051514IntRatesForDLFirstDisbBtwnJuly12014June302015.html
Some loan balances will be paid in full in less than 120 months.4Dollar amounts are rounded to the nearest dollar.4Amounts shown are estimates only. Your actual payment and interest amounts may vary. 4Current interest rate for Direct Loans with a first disbursement date between July 1, 2015 and June 30, 2016.
http://www.sacn.edu/pdfs/InterestRates.pdf
Special Considerations. In most cases, the loans students obtain from federal sources come with a fixed interest rate. This means that the amount of money a student will be asked to pay in interest fees won’t move up or down during the life of the loan.
http://www.simpletuition.com/federal-loans/rates/
For Direct Consolidation Loans, as was in the past, the interest rate is the weighted average of the interest rates on the loans included in the consolidation, rounded up to the next higher one-eighth of one percent. There is no longer a maximum interest rate for Direct Consolidation Loans. Direct Loan Interest Rates for 2014-2015. On Tuesday, May 7, 2014, the Treasury Department held a 10-year Treasury note auction that resulted in a high yield of 2.612%.
http://ifap.ed.gov/eannouncements/051514IntRatesForDLFirstDisbBtwnJuly12014June302015.html
All Federal Direct loan programs listed below will have the Direct Loan Fees listed deducted from the amount accepted prior to fund disbursement. Each year the Federal student loan interest rates are set according to the yield of the 10-year U.S. Treasury note plus a fixed percentage.
http://www.unr.edu/financial-aid/understanding-financial-aid/loans/federal-direct-student-loan-interest-rates-and-fees
The bill links interest rates on new federal education loans made on or after July 1, 2013 to the 10-year Treasury rate, plus a fixed margin. The interest rates on Federal Stafford loans are capped at 8.25% and 9.5% for undergraduate and graduate/professional students, respectively. The interest rates on new loans are still fixed for the life of the loan; however, each year’s new loans will have different fixed rates, based on current market rates.
https://www.edvisors.com/college-loans/federal/stafford/interest-rates/
Interest rates on Federal Stafford Loans are fixed. The current interest rates for new Federal Stafford Loans in 2015-2016 are 4.29% for undergraduate students and 5.84% for graduate and professional students. Interest rates are the same for subsidized and unsubsidized Federal Stafford Loans.
https://www.edvisors.com/college-loans/federal/stafford/interest-rates/
what are the interest rates on federal loans
Federal loan interest rates for undergraduate students is 4.29 percent and for graduate and professional students it is 5.84 percent.