Federal Direct Loan interest rates and fees
The interest rate for a loan, once established, applies for the life of the loan -- in other words, the loan is a fixed-rate loan.
- Fees. All Federal Direct Loan programs listed below will have the Direct Loan fees listed deducted from the amount accepted prior to fund disbursement.
- Interest rates. Each May, the Federal Loan interest rates for the following July through June period are set according to the yield of the 10-year U.S. Treasury note plus a fixed percentage.
2024-2025 Direct Loan interest rates and fees
| Borrower type | Loan Type | Direct loan fees (disbursed prior to 10/1/2024*) | Direct Loan Interest Rates (loans disbursed 7/1/24 to 6/30/25) |
|---|---|---|---|
| Undergraduate | Direct Subsidized | 1.057% | 6.53% |
| Undergraduate | Direct Unsubsidized | 1.057% | 6.53% |
| Graduate | Direct Unsubsidized | 1.057% | 8.08% |
| Parent or Graduate/Professional | Direct PLUS | 4.228% | 9.08% |
*Direct Loan Fees for loans disbursed on or after 10/1/2024 will be published once this information is available.