Story perspectives

Federal Loan Rates Drop, Easing Burden for Students

6/15/2025

27 5

Summary

Story summary

In a historic move, the federal Education Department has reduced federal loan rates for college students for the first time in five years. The undergraduate rate has dipped from 6.53% to 6.39%, offering borrowers a welcome relief of nearly $50 in interest on a $5,500 loan over a decade.

1 of 1

Story summary

In a historic move, the federal Education Department has reduced federal loan rates for college students for the first time in five years. The undergraduate rate has dipped from 6.53% to 6.39%, offering borrowers a welcome relief of nearly $50 in interest on a $5,500 loan over a decade.