Federal Direct Loan Changes for 2012-13

Undergraduate Loan Update

Congress passed legislation on June 29, 2012 that extends for one year the fixed 3.4% interest rate on subsidized Federal Direct Loans for undergraduate students. The interest rate was set to double to 6.8% on July 1, 2012. For more information on undergraduate loan changes for 2012-13, please see our Undergraduate Student Loan Changes page and our Undergraduate Loan page.

Graduate Loan Reminder

As of July 1, 2012, the federal government will no longer pay the interest on the first $8,500 of a Federal Direct Loan while you are in school or during the six-month grace period. For more information on graduate loan changes for 2012-13, please see our Graduate Student Loan Changes page and our Graduate Loan page.