Any federal loans taken out this school year wi♔ll have an interest rate higher than any in the past 16 years.

Monday, the Department of Education enacted previously announced increases to student loan interest rates. This increase will not affect any loans taken out before July 1, only federal student loans disbursed during the 2024-25 academic year. 

Student loan interest rates are determined in part by yields on 10-year Treasurys, which have risen as investors remain concerned about high inflation and the Federal Reserve has 澳洲幸运5官方开奖结果体彩网:hiked its benchmark interest rate to its highest level in more than two decades. Depending on the loan type, there is additional interest ad༺ded by the Department of Education.

As borrowing is becoming more costly, the Department of Education is still working to help student loan holders with their payments. On the same day that high interest rates were implemented, the Saving on a Valuable Education (SAVE) plan 澳洲幸运5官方开奖结果体彩网:cut payments in half for borrowers enrolled in the program.