Federal Direct Loan Interest Rates, Repayment & Default Information
DIRECT LOAN INTEREST RATES
The College Cost Reduction and Access Act reduces the interest rates over the next four years for subsidized Federal Direct Loans made to undergraduate students only. The interest rates are as follows:
|
First Disbursement |
Interest Rate |
|
|
Made on or after: |
but before: |
|
|
7/1/2009 |
7/1/2010 |
5.6% |
|
7/1/2010 |
7/1/2011 |
4.5% |
|
7/1/2011 |
7/1/2012 |
3.4% |
|
7/1/2012 |
7/1/2013 |
3.4% |
The interest rate for the undergraduate unsubsidized Federal Direct Loan and the Graduate/Professional degree Subsidized & Unsubsidized Federal Direct Loan will be 6.8%.
DIRECT LOAN REPAYMENT
What may your loan payment look like?
Use the following loan chart as a guide:
|
|
|
Monthly Payment Amounts |
|||
|
6% |
7% |
8% |
9% |
||
|
$5,500 |
60 |
$106 |
$109 |
$112 |
$114 |
|
$10,000 |
60 |
$193 |
$198 |
$203 |
$208 |
|
$10,000 |
120 |
$111 |
$115 |
$121 |
$125 |
|
$20,000 |
120 |
$223 |
$233 |
$243 |
$254 |
|
$30,000 |
120 |
$334 |
$349 |
$364 |
$381 |
|
$40,000 |
120 |
$445 |
$465 |
$486 |
$507 |
Visit the Loan Payment Calculator web site to help you determine your future payments based on your Stafford Loan balance.
LOAN DEFAULT
Students who are currently in default cannot receive any federal student aid and the default will be reported to credit agencies, affecting your ability to apply for any other forms of credit. Contact the U.S. Department of Education at 1-800-4FEDAID if you are in default or if you have questions regarding the status of past loans.
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