Financial Aid Office

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
Subsidized & Unsubsidized Federal Stafford Loan for Undergraduate Students only

Made on or after:

but before:

 

07/01/2013  07/01/2014 3.86%
07/01/2014   4.66%

The interest rate for the Federal Unsubsidized Direct Loan for students in a Graduate/Professional degree will be

5.41% for loans disbursed on or after 07/01/2013 but before 07/01/2014

6.21% for loans disbursed on or after 07/01/2014

DIRECT LOAN REPAYMENT

What may your loan payment look like?  
Use the following loan chart as a guide:


Amount of Loan Borrowed


Number of Payments

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.       

Click here for helpful suggestions for Default Management