Student Loan Interest Rates for 2021-22

5/27/2021

Interest rates are determined each June 1 for the upcoming award year by adding a fixed percentage to the high yield of the 10-year Treasury note auctioned at the final auction prior to June 1. The interest rate for federal loans first disbursed on or after July 1, 2020 are expected to increase from 2.75% to 3.73% for undergraduate Direct Loans, from 4.30% to 5.28% for graduate/professional Direct Unsubsidized Loans, and from 5.30% to 6.28% for Parent and Grad PLUS loans. The interest rate caps for these loans are 8.25%, 9.5 % and 10.5% respectively.