Federal Student Loan Interest Rates for 2026–27
Federal Direct Loans first disbursed on or after July 1, 2026 and before July 1, 2027 carry fixed rates of 6.52% for undergraduate Direct Subsidized and Direct Unsubsidized Loans, 8.07% for graduate and professional Direct Unsubsidized Loans and 9.07% for Direct PLUS Loans, according to the Federal Register notice of September 10, 2026.
When we checked on November 2, 2026, the eCFR (up to date as of October 29, 2026), the Federal Register documents, Pub. L. 119-21 and Pub. L. 116-260 and the U.S. Code read as quoted on this page. The FSA announcements are cited by their posting dates and were read in Internet Archive copies: GENERAL-26-28 (posted May 13, 2026), GENERAL-25-20 (posted May 5, 2025) and GENERAL-26-42 (posted June 29, 2026, updated July 10, 2026).
Maintained by Archie Chang · Reviewed November 2, 2026 · Methodology & sources
Fixed rates for loans first disbursed July 1, 2026 to before July 1, 2027
| Loan type and borrower | 10-year Treasury high yield | Add-on | Maximum | Fixed rate |
|---|---|---|---|---|
| Direct Subsidized and Direct Unsubsidized, undergraduate students | 4.47% | 2.05% | 8.25% | 6.52% |
| Direct Unsubsidized, graduate and professional students | 4.47% | 3.60% | 9.50% | 8.07% |
| Direct PLUS, parents of dependent undergraduates and graduate or professional students | 4.47% | 4.60% | 10.50% | 9.07% |
The 10-year Treasury high yield is from the auction of May 12, 2026. The notice says the calculated rate may not exceed a statutory maximum and that graduate and professional students are not eligible for Direct Subsidized Loans. Which borrowers can take a subsidized loan is on the subsidized vs unsubsidized loans page.
The Direct PLUS row is the notice's own label. Under HEA 455(a)(3)(C), a graduate or professional student is not eligible to receive a Direct PLUS Loan for any period of instruction beginning on or after July 1, 2026, subject to the interim exception for students enrolled as of June 30, 2026 who had a loan made for their program. See the federal student loan limits page and the subsidized vs unsubsidized loans page for the exception.
“Subject to paragraph (8) and notwithstanding any provision of this part or part B, for any period of instruction beginning on or after July 1, 2026, a graduate or professional student shall not be eligible to receive a Federal Direct PLUS Loan under this part”
“The interest rate for these loans is a fixed rate that is determined annually for all loans first disbursed during any 12-month period beginning on July 1 and ending on June 30.”
“The calculated interest rate may not exceed a maximum rate specified in the HEA.”
“Graduate and professional students are not eligible to receive Direct Subsidized Loans.”
Rates by first-disbursement year
| First disbursed | Undergraduate Direct Subsidized and Unsubsidized | Graduate or professional Direct Unsubsidized | Direct PLUS |
|---|---|---|---|
| July 1, 2026 to before July 1, 2027 | 6.52% | 8.07% | 9.07% |
| July 1, 2025 to before July 1, 2026 | 6.39% | 7.94% | 8.94% |
| July 1, 2024 to before July 1, 2025 | 6.53% | 8.08% | 9.08% |
| July 1, 2023 to before July 1, 2024 | 5.50% | 7.05% | 8.05% |
| July 1, 2022 to before July 1, 2023 | 4.99% | 6.54% | 7.54% |
| July 1, 2021 to before July 1, 2022 | 3.73% | 5.28% | 6.28% |
| July 1, 2020 to before July 1, 2021 | 2.75% | 4.30% | 5.30% |
| July 1, 2019 to before July 1, 2020 | 4.53% | 6.08% | 7.08% |
| July 1, 2018 to before July 1, 2019 | 5.05% | 6.60% | 7.60% |
| July 1, 2017 to before July 1, 2018 | 4.45% | 6.00% | 7.00% |
| July 1, 2016 to before July 1, 2017 | 3.76% | 5.31% | 6.31% |
| July 1, 2015 to before July 1, 2016 | 4.29% | 5.84% | 6.84% |
| July 1, 2014 to before July 1, 2015 | 4.66% | 6.21% | 7.21% |
| July 1, 2013 to before July 1, 2014 | 3.86% | 5.41% | 6.41% |
The rows for 2025 and 2026 agree with 91 FR 10084 (March 2, 2026) and 91 FR 57581. Loans first disbursed from July 1, 2006 to before July 1, 2013 have the fixed rates listed in Chart 3 of the September 10, 2026 notice, and for Direct Consolidation Loans for which the application was received on or after February 1, 1999 the rate is the weighted average of the rates on the loans consolidated, rounded to the nearest higher one-eighth of one percent. Chart 4 shows an 8.25 percent maximum for applications received before July 1, 2013 and no maximum for applications received on or after July 1, 2013.
Loan fees
| Loan type | Statutory rate | Fee for loans first disbursed on or after Oct. 1, 2020 and before Oct. 1, 2027 | Example |
|---|---|---|---|
| Direct Subsidized and Direct Unsubsidized | 1% | 1.057% | $58.13 on a $5,500 loan (FSA example) |
| Direct PLUS | 4% | 4.228% | $422.80 on a $10,000 loan (FSA example) |
FSA says fee calculations with more than two decimal places are truncated, not rounded, to cents. The eCFR states a ceiling instead of the sequester figure:
“The FY27 sequester fees are the same as FY26 sequester fees.”
“This means for all loans where the first disbursement is made on or after Oct. 1, 2020, and before Oct. 1, 2027, the loan fees are as follows: 1.057% for Direct Subsidized Loans and Direct Unsubsidized Loans.”
“For a Direct Subsidized or Direct Unsubsidized loan first disbursed on or after July 1, 2010, charges the borrower a loan fee not to exceed 1 percent of the principal amount of the loan”
Interest in one year, by loan type
| Loan | Interest in one year | How it is worked out |
|---|---|---|
| Undergraduate Direct Subsidized or Unsubsidized, 6.52% | $652.00 | $10,000 × 6.52% |
| Graduate or professional Direct Unsubsidized, 8.07% | $807.00 | $10,000 × 8.07% |
| Direct PLUS, 9.07% | $907.00 | $10,000 × 9.07% |
On a Direct Subsidized Loan the borrower is not obligated to pay interest while enrolled at least half time, with the qualifiers on the subsidized vs unsubsidized loans page, so these figures show what the rate means once interest is owed.
Frequently asked questions
What are the federal student loan interest rates for 2026–27?
For loans first disbursed on or after July 1, 2026 and before July 1, 2027, the fixed rates are 6.52% for undergraduate Direct Subsidized and Direct Unsubsidized Loans, 8.07% for graduate and professional Direct Unsubsidized Loans and 9.07% for Direct PLUS Loans (91 FR 57581, September 10, 2026).
How is the federal student loan rate set?
The notice says the rate equals the high yield of the 10-year Treasury note at the final auction before June 1, plus an add-on set by the Higher Education Act, and may not exceed a statutory maximum. The May 12, 2026 auction had a high yield of 4.468%, rounded to 4.47%; the add-ons are 2.05%, 3.60% and 4.60% for the three loan types.
Is the rate fixed or variable?
The notice says Direct Subsidized, Unsubsidized and PLUS Loans first disbursed on or after July 1, 2006 have fixed rates for the life of the loan. Variable-rate loans, first disbursed before July 1, 2006, are covered by a separate Federal Register notice.
What was the rate for 2025–26?
For loans first disbursed on or after July 1, 2025 and before July 1, 2026 the fixed rates were 6.39% for undergraduate loans, 7.94% for graduate and professional Unsubsidized Loans and 8.94% for Direct PLUS Loans, in both 91 FR 10084 (March 2, 2026) and Chart 2 of 91 FR 57581.
What is the loan fee on a federal student loan?
FSA lists 1.057% for Direct Subsidized and Direct Unsubsidized Loans and 4.228% for Direct PLUS Loans first disbursed on or after Oct. 1, 2020 and before Oct. 1, 2027, against statutory rates of 1% and 4%. FSA gives $58.13 on a $5,500 loan and $422.80 on a $10,000 PLUS loan as examples, with fees truncated to cents.
Why is the graduate rate higher than the undergraduate rate?
The notice gives a larger add-on for graduate and professional Direct Unsubsidized Loans, 3.60% against 2.05% for undergraduates, so the gap is 1.55 percentage points by arithmetic. Graduate and professional students are not eligible for Direct Subsidized Loans.
Related pages
Sources (checked November 2, 2026): Federal Register, 91 FR 57581 (September 10, 2026): Annual Notice of Interest Rates for Fixed-Rate Federal Student Loans · Federal Register, 91 FR 10084 (March 2, 2026): the same notice for loans first disbursed July 1, 2025 to before July 1, 2026 · 34 CFR 685.200, Borrower eligibility (eCFR) · 34 CFR 685.202, Charges for which Direct Loan Program borrowers are responsible (eCFR) · 34 CFR 685.203, Loan limits (eCFR) · 34 CFR 685.204, Deferment (eCFR) · 34 CFR 685.207, Obligation to repay (eCFR) · Pub. L. 119-21, sec. 81001 (loan limits) and sec. 82002 (deferment; forbearance), govinfo · 20 U.S.C. 1087e, Terms and conditions of loans (House Office of the Law Revision Counsel) · FSA electronic announcement GENERAL-26-28: FY27 Sequester-Required Changes to the Title IV Student Aid Programs (posted May 13, 2026; Internet Archive copy captured 2026-06-13) · FSA electronic announcement GENERAL-25-20: FY 26 Sequester-Required Changes to the Title IV Student Aid Programs (posted May 5, 2025; Internet Archive copy captured 2026-04-16) · FSA electronic announcement GENERAL-26-42: Update to List of Professional Degree Programs Due to Court Order (posted June 29, 2026, updated July 10, 2026; Internet Archive copy) · Pub. L. 116-260, div. FF, title VII, sec. 705 (repeal of subsection 455(q)), govinfo · Federal Register, 86 FR 31432 (June 14, 2021): Repeal of the William D. Ford Federal Direct Loan Program Subsidized Usage Limit Restriction · 34 CFR 685.200 as in effect on June 13, 2021, before paragraph (f) was removed (eCFR versioner)