| Publication Date: May 30, 2007 Author: Jeff Baker, Director Policy Liaison and Implementation, Federal Student Aid Summary: FFEL and Direct Loan Interest Rates Effective July 1, 2007 Posted on 05-30-2007 Loans First Disbursed on or After July 1, 2006 | Loan Type | Status | Program | | 7/1/2007 to 6/30/2008 | | Direct Loans | FFEL | | Subsidized Loans | Repayment or Forbearance | 6.80 | 6.80 | | In-School, Grace, or Deferment | 6.80 | 6.80 | | Unsubsidized Loans | Repayment or Forbearance | 6.80 | 6.80 | | In-School, Grace, or Deferment | 6.80 | 6.80 | | PLUS Loans | All | 7.90 | 8.50 |
Loans First Disbursed Between July 1, 1998 and June 30, 2006 These rates were calculated based upon statutory formulas and equal the bond equivalent rate of the 91-day Treasury bills auctioned on May 29, 2007, plus certain statutory percentage add-ons. The 91-day Treasury bills were auctioned at 4.919 percent, rounded to 4.92 percent. | Loan Type | Status | Program | | Direct Loans | FFEL | | 7/1/2006 to 6/30/2007 | 7/1/2007 to 6/30/2008 | 7/1/2006 to 6/30/2007 | 7/1/2007 to
6/30/2008 | | Subsidized Loans | Repayment or Forbearance | 7.14 | 7.22 | 7.14 | 7.22 | | In-School, Grace, or Deferment | 6.54 | 6.62 | 6.54 | 6.62 | | Unsubsidized Loans | Repayment or Forbearance | 7.14 | 7.22 | 7.14 | 7.22 | | In-School, Grace, or Deferment | 6.54 | 6.62 | 6.54 | 6.62 | | PLUS Loans | All | 7.94 | 8.02 | 7.94 | 8.02 |
Notes: - Interest rates on Stafford and PLUS loans disbursed before July 1, 1998, are calculated using different statutory formulas, percentage add-ons, or both.
- Generally, interest rates on Consolidation Loans are fixed rates calculated based on the weighted average of the loans being consolidated rounded up to the next higher 1/8 percent, not to exceed 8.25%.
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