What Is the Current Student Loan Interest Rate?

The current student loan interest rate is 4.53%. This rate is fixed for the life of the loan.

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Federal Student Loan Interest Rates

As of July 1, 2017, the interest rate for Direct Subsidized Loans and Direct Unsubsidized Loans is 4.45%. The interest rate for Direct PLUS Loans for Parents and Graduate/Professional Students is 7%. These rates will remain in effect through June 30, 2018.

Federal Direct Subsidized Loans

The current student loan interest rate for Federal Direct Subsidized Loans is 4.53% for loans disbursed between July 1, 2020 and June 30, 2021. This means that if you take out a Federal Direct Subsidized Loan during this time period, the interest rate will be 4.53% for the life of the loan.

Federal Direct Unsubsidized Loans

For Federal Direct Unsubsidized Loans first disbursed on or after July 1, 2019, and before July 1, 2020, the interest rate is 4.53%.

Federal Direct PLUS Loans

The interest rate for Federal Direct PLUS Loans first disbursed on or after July 1, 2019, and before July 1, 2020, is 7.08%.

Private Student Loan Interest Rates

If you’re exploring private student loans, you’ll want to know what the current student loan interest rate is. The current average private student loan interest rate is 7.08%. This rate is based on the weighted average of all private student loan rates for 2019.

Fixed-Rate Loans

The interest rate for a fixed-rate loan remains the same for the life of the loan. This type of loan offers predictability and stability, which can help borrowers budget their monthly loan payments.

The current student loan interest rate for fixed-rate loans is 4.53% for Undergraduate Direct Loans and Graduate Direct Loans first disbursed on or after July 1, 2019, and before July 1, 2020.

The current student loan interest rate for Parent PLUS Loans first disbursed on or after July 1, 2019, and before July 1, 2020 is 7.08%.

Variable-Rate Loans

The interest rate on your private student loan may be lower than the interest rate on a federal loan, but it’s still important to understand how it works and what the current student loan interest rates are before you borrow.

Private student loan interest rates are based on the market, similar to how mortgage rates or credit card rates fluctuate. They can change at any time, so it’s important to stay up-to-date on the current rates.

Variable-Rate Loans
The majority of private student loans have variable interest rates written into the fine print of the promissory note. That means your lender can raise or lower your interest rate if market conditions change. However, some lenders may let you know about an impending rate change in advance, giving you an opportunity toShop around for a new loan if you don’t like the new terms.

How to Get the Best Interest Rate on Your Student Loans

The current student loan interest rate is 4.53% for undergraduates, 6.08% for graduate students, and 7.08% for PLUS loans. If you’re looking to get the best interest rate on your student loans, there are a few things you can do. You can shop around for the best rates, make sure you have a good credit score, and consider consolidating your loans. This section will cover all of these topics in detail.

Research Interest Rates

The best way to get the lowest interest rate on your student loans is to research and compare rates from multiple lenders.Today’s interest rates for federal and private student loans are all over the map, so it pays to shop around.

You can start by checking out our student loan interest rates tool, which allows you to compare rates from multiple lenders side-by-side. Keep in mind that federal student loan rates are set by Congress and they’re generally lower than private student loan rates. So if you’re eligible for federal student loans, you should always start there.

You can also check out our roundup of the best student loan refinance companies, which can help you lower your interest rate if you have good credit and a steady income. Student loan refinancing is a great option if you have private loans or if you’re no longer eligible for federal benefits like income-based repayment or Public Service Loan Forgiveness.

Compare Lenders

To get the best interest rate on your student loans, you should compare lenders to see who is offering the lowest rates. You can use a tool like Credible to compare rates from multiple lenders in one place.

Credible is a free online service that helps you compare rates from multiple lenders in minutes. To get started, simply fill out a short form with some basic information about yourself and your loans. Credible will then show you personalized loan offers from multiple lenders, including both private and federal loans.

You can compare rates, terms, and repayment options side-by-side to find the loan that best meets your needs. Once you’ve found the right loan, you can apply for it directly through Credible. And because Credible is an online marketplace, there are no origination fees or prepayment penalties – so you can save money on your loans.

If you’re not sure where to start, check out Credible’s Student Loan Center for more information on student loans and how to get the best interest rates.

Consider Refinancing

Refinancing your student loans could save you a lot of money in interest, but it’s not the right move for everyone. When you refinance, you replace your current loans with a new one from a private lender. You might get a lower interest rate, but you will also have a new loan with different terms. These terms could include a longer repayment period, which would mean you’d pay more in interest over time, or a shorter repayment period, which could mean higher monthly payments.

When you refinance your student loans, you might also lose some of the benefits that come with federal student loans, such as income-driven repayment plans and loan forgiveness programs. If you have private student loans, you might be able to lower your interest rate by consolidating your loans into one new loan with a lower rate. But like refinancing, consolidating your student loans will also result in new terms, and you could end up paying more in interest over time.