US Education Department Offers Two-Year Trim on Student Loan Interest Rates

Don't wait: What borrowers need to know about changing student loan plans

Changes taking effect July 1 could affect millions of borrowers who carried an average of $33,770 in student debt in 2025, according to the Education Data Initiative.

US Education Department offers two-year trim on student loan interest rates

The U.S. Education Department will temporarily lower interest rates for student loan borrowers who use the auto pay feature. (Photo illustration via Getty Images) WASHINGTON — The U.S. Department of Education will temporarily reduce interest rates for federal student loan borrowers enrolled in auto pay starting July 1, the agency announced Thursday.  Borrowers who enroll in auto pay — the optional feature that allows a borrower to have their mon…

Student loan autopay discount cut lands just ahead of July repayment reset

Eligible federal Direct Loan borrowers who use auto pay get a temporary 1-point interest-rate cut from July 1, 2026, to June 30, 2028, as new loan rates rise to 6.52%-9.07%; the U.S. Education Department aims to boost repayment rates after auto-pay enrollment fell to 40% post-pandemic, with the two-year discount estimated to cost $6 billion. The post Student loan autopay discount cut lands just ahead of July repayment reset appeared first on Tec…

US Education Department offers two-year trim on student loan interest rates – Mountain Media, LLC

WASHINGTON — The U.S. Department of Education will temporarily reduce interest rates for federal student loan borrowers enrolled in auto pay starting July 1, the agency announced Thursday. Borrowers who enroll in auto pay — the optional feature that allows a borrower to have their monthly loan payment automatically deducted from their checking or savings account [...]