Maintained for Historical Purposes

This resource is being maintained for historical purposes only and is not currently applicable.

Interest Rates for Stafford and PLUS Loans in the Federal Direct Loan and Federal Family Education Loan Programs

Publication Date: June 01, 2001

Author: Program Development/AS

Summary: Interest Rates for Stafford and PLUS Loans in the Federal Direct Loan and Federal Family Education Loan Programs

Posted on June 01, 2001

U.S. DEPARTMENT OF EDUCATION
STUDENT FINANCIAL ASSISTANCE

Interest Rates for Stafford and PLUS Loans in the Federal Direct Loan and Federal Family Education Loan Programs


May 31, 2001


The table below displays interest rates for certain Stafford Loans for students and PLUS Loans for parents in the Federal Direct Loan and the Federal Family Education Loan (FFEL) programs authorized under Title IV of the Higher Education Act of 1965 (HEA). The chart includes only loans for which the first disbursement was made on or after July 1, 1998.1 For comparison purposes, the chart shows rates for the both the 2000-2001 and the upcoming 2001-2002 years.

For loans first disbursed on or after July 1, 1998 interest rates are variable and are calculated each year effective for the period from July 1 to the following June 30. They are set according to statutory requirements that use the bond equivalent rate of the 91-day Treasury bill auction held at the end of the preceding May plus a statutory percentage add-on. The 2001-2002 rates are effective from July 1, 2001 to June 30, 2002 and are based on a bond equivalent rate of 3.69 percent from the May 29, 2001 91-day Treasury bills auction.

Loan Type
Loan Status
Loan Program

Direct Loan Program
Interest Rates
FFEL Program
Interest Rates
7/1/2000 to 6/30/2001
7/1/2001 to 6/30/2002
7/1/2000 to 6/30/2001
7/1/2001 to 6/30/2002

Subsidized Loans and Unsubsidized Loans
(Student Loans)
Repayment, or forbearance
8.19%
5.99%
8.19%
5.99%
In-school, grace, or deferment
7.59%
5.39%
7.59%
5.39%

PLUS Loans
(Parent Loans)
All
8.99%

6.79%

8.99%

6.79%


1 Stafford and PLUS loans disbursed before 7/1/1998 and Consolidation loans are not included on this chart because the interest rate formulas for those loans varies depending upon exactly when the loan was first disbursed.

Last Modified: 05/31/2001