Private Student Loans Guru
Private Student Loans Guru

Federal Student Loan Interest Rates and Fees

By Mark Kantrowitz

Although the Federal student loans have fixed interest rates, each year's new loans are at a new fixed rate. The current interest rates and fees are shown in this table.

2015-2016 Federal Student Loan Interest Rates
Loan ProgramBorrowerInterest
Rate
Loan
Fee
Federal Stafford LoanUndergraduate4.29% Fixed1.068%
Federal Stafford LoanGraduate & Professional5.84% Fixed1.068%
Federal Parent PLUS LoanParent of Undergraduate6.84% Fixed4.282%
Federal Grad PLUS LoanGraduate & Professional6.84% Fixed4.282%

The interest rates on new loans first disbursed on or after July 1 of each year are set based on the last 10-year Treasury rate auction in May. The interest rate formulas are shown in this table.

Federal Student Loan Interest Rate Formulas
Loan ProgramBorrowerInterest Rate FormulaCap
Federal Stafford LoanUndergraduate10-year Treasury + 2.05% fixed8.25%
Federal Stafford LoanGraduate & Professional10-year Treasury + 3.60% fixed9.5%
Federal Parent PLUS LoanParent of Undergraduate10-year Treasury + 4.60% fixed10.5%
Federal Grad PLUS LoanGraduate & Professional10-year Treasury + 4.60% fixed10.5%