As if student debt wasn’t already crippling enough, interest rates on federal loans are set to jump higher. In fact, “federal student loan interest rates will reach record heights for the 2024-25 school year,” said NerdWallet, citing a recent announcement from the Department of Education.
Effective July 1 for the 2024-25 school year, “undergraduate direct loans will have a 6.53% interest rate, up from 5.50%,” said NerdWallet. Meanwhile, “graduate and professional direct loans will have an 8.08% interest rate, up from 7.05%.”
Sign up for The Week’s Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Tap out federal student loans first
Improve your credit score
Apply with a co-signer
Look into any offered discounts
To continue reading this article…
Create a free account
Continue reading this article and get limited website access each month.
Already have an account? Sign in
Subscribe to The Week
Get unlimited website access, exclusive newsletters plus much more.
Cancel or pause at any time.
Already a subscriber to The Week?
Unlimited website access is included with Digital and Print + Digital subscriptions.
Create an account with the same email registered to your subscription to unlock access.
