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The interest rates on federal student loans are among the lowest interest rates available to college students. Even with a creditworthy cosigner, interest rates on private student loans are generally higher than those on federal student loans. This article provides information on historical student loan interest rates over time. If you are seeking this year’s rates, see current federal student loan interest rates.
Traditional college students have thin or non-existent credit scores and do not have enough income to satisfy minimum income thresholds and maximum debt-to-income ratios. More than 90% of private student loans to undergraduate students and 75% of private student loans to graduate students require a creditworthy cosigner.
Federal student loans currently provide fixed interest rates that do not change throughout the life of the loan, although each year’s fixed interest rates may be different. From the mid-1980s through the mid-2000s, however, interest rates on federal student loans were variable and could be locked in as a fixed rate through consolidation. Before then the interest rates were fixed.
The interest rates on federal student loans have, at times, depended on the degree level (undergraduate vs. graduate), borrower (student vs. parent), type of loan (subsidized vs. unsubsidized), loan program (FFEL vs. Direct Loan) and loan status (in-school and grace periods, repayment period, deferments and forbearances).
Interest rates on Federal student loans reset annually on July 1, based on the last 10-year Treasury Note auction in May. Previously the interest rates were pegged to the 91-day T-Bill, 12-month T-Bill or Constant Maturity Treasury (CMT).
Interest Rates on Federal Stafford Loans
This table shows the historical interest rates on Federal Stafford loans to undergraduate students since 2006-2007.
Academic Year |
Fixed vs. Variable |
Subsidized |
Unsubsidized |
2020-2021 |
Fixed |
2.750% |
2.750% |
2019-2020 |
Fixed |
4.529% |
4.529% |
2018-2019 |
Fixed |
5.045% |
5.045% |
2017-2018 |
Fixed |
4.45% |
4.45% |
2016-2017 |
Fixed |
3.76% |
3.76% |
2015-2016 |
Fixed |
4.29% |
4.29% |
2014-2015 |
Fixed |
4.66% |
4.66% |
2013-2014 |
Fixed |
3.86% |
3.86% |
2012-2013 |
Fixed |
3.40% |
6.80% |
2011-2012 |
Fixed |
3.40% |
6.80% |
2010-2011 |
Fixed |
4.50% |
6.80% |
2009-2010 |
Fixed |
5.60% |
6.80% |
2008-2009 |
Fixed |
6.00% |
6.80% |
2007-2008 |
Fixed |
6.80% |
6.80% |
2006-2007 |
Fixed |
6.80% |
6.80% |
This table shows the historical interest rates on Federal Stafford loans to undergraduate students from 1992-1993 through 2005-2006.
Academic Year |
Fixed vs. Variable |
In-School and Grace Periods |
Repayment Period |
2005-2006 |
Variable |
4.70% |
5.30% |
2004-2005 |
Variable |
2.77% |
3.37% |
2003-2004 |
Variable |
2.82% |
3.42% |
2002-2003 |
Variable |
3.46% |
4.06% |
2001-2002 |
Variable |
5.39% |
5.99% |
2000-2001 |
Variable |
7.59% |
8.19% |
1999-2000 |
Variable |
6.32% |
6.92% |
1998-1999 |
Variable |
6.86% |
7.46% |
1997-1998 |
Variable |
7.65% |
8.25% |
1996-1997 |
Variable |
7.65% |
8.25% |
1995-1996 |
Variable |
8.25% |
8.25% |
1994-1995 |
Variable |
7.43% |
7.43% |
1993-1994 |
Variable |
6.22% |
6.22% |
1992-1993 |
Variable |
6.94% |
6.94% |
This table shows the historical interest rates on the GSL, a predecessor to the Federal Stafford loans.
Effective Dates |
Fixed vs. Variable |
GSL |
7/1/1988 to 9/30/1992 |
Variable |
12M T-bill + 3.25%, 10% Cap |
9/13/1983 to 6/30/1988 |
Fixed |
8% |
1/1/1981 to 9/12/1983 |
Fixed |
9% |
prior to 1/1/1981 |
Fixed |
7% |
This table shows the historical interest rates on Federal Stafford loans to graduate students since 2006-2007.
Academic Year |
Fixed vs. Variable |
Subsidized |
Unsubsidized |
2020-2021 |
Fixed |
NA |
4.300% |
2019-2020 |
Fixed |
NA |
6.079% |
2018-2019 |
Fixed |
NA |
6.595% |
2017-2018 |
Fixed |
NA |
6.00% |
2016-2017 |
Fixed |
NA |
5.31% |
2015-2016 |
Fixed |
NA |
5.84% |
2014-2015 |
Fixed |
NA |
6.21% |
2013-2014 |
Fixed |
NA |
5.41% |
2012-2013 |
Fixed |
NA |
6.80% |
2011-2012 |
Fixed |
6.80% |
6.80% |
2010-2011 |
Fixed |
6.80% |
6.80% |
2009-2010 |
Fixed |
6.80% |
6.80% |
2008-2009 |
Fixed |
6.80% |
6.80% |
2007-2008 |
Fixed |
6.80% |
6.80% |
2006-2007 |
Fixed |
6.80% |
6.80% |
This table shows the historical interest rates on Federal Stafford loans to graduate students from 1992-1993 through 2005-2006.
Academic Year |
Fixed vs. Variable |
In-School and Grace Periods |
Repayment Period |
2005-2006 |
Variable |
4.70% |
5.30% |
2004-2005 |
Variable |
2.77% |
3.37% |
2003-2004 |
Variable |
2.82% |
3.42% |
2002-2003 |
Variable |
3.46% |
4.06% |
2001-2002 |
Variable |
5.39% |
5.99% |
2000-2001 |
Variable |
7.59% |
8.19% |
1999-2000 |
Variable |
6.32% |
6.92% |
1998-1999 |
Variable |
6.86% |
7.46% |
1997-1998 |
Variable |
7.65% |
8.25% |
1996-1997 |
Variable |
7.65% |
8.25% |
1995-1996 |
Variable |
8.25% |
8.25% |
1994-1995 |
Variable |
7.43% |
7.43% |
1993-1994 |
Variable |
6.22% |
6.22% |
1992-1993 |
Variable |
6.94% |
6.94% |
Interest Rates on Federal PLUS Loans
This table shows the historical interest rates on Federal PLUS loans, both Parent PLUS and Grad PLUS loans, since 2006-2007.
Academic Year |
Fixed vs. Variable |
Direct |
FFEL |
2020-2021 |
Fixed |
5.300% |
NA |
2019-2020 |
Fixed |
7.079% |
NA |
2018-2019 |
Fixed |
7.595% |
NA |
2017-2018 |
Fixed |
7.00% |
NA |
2016-2017 |
Fixed |
6.31% |
NA |
2015-2016 |
Fixed |
6.84% |
NA |
2014-2015 |
Fixed |
7.21% |
NA |
2013-2014 |
Fixed |
6.41% |
NA |
2012-2013 |
Fixed |
7.90% |
NA |
2011-2012 |
Fixed |
7.90% |
NA |
2010-2011 |
Fixed |
7.90% |
NA |
2009-2010 |
Fixed |
7.90% |
8.50% |
2008-2009 |
Fixed |
7.90% |
8.50% |
2007-2008 |
Fixed |
7.90% |
8.50% |
2006-2007 |
Fixed |
7.90% |
8.50% |
This table shows the historical interest rates on Federal Parent PLUS loans from 1992-1993 through 2005-2006. Federal Grad PLUS loans were not available prior to July 1, 2006.
Academic Year |
Fixed vs. Variable |
Direct |
FFEL |
2005-2006 |
Variable |
6.10% |
6.10% |
2004-2005 |
Variable |
4.17% |
4.17% |
2003-2004 |
Variable |
4.22% |
4.22% |
2002-2003 |
Variable |
4.86% |
4.86% |
2001-2002 |
Variable |
6.79% |
6.79% |
2000-2001 |
Variable |
8.99% |
8.99% |
1999-2000 |
Variable |
7.72% |
7.72% |
1998-1999 |
Variable |
8.26% |
8.26% |
1997-1998 |
Variable |
8.98% |
8.98% |
1996-1997 |
Variable |
8.72% |
8.72% |
1995-1996 |
Variable |
8.98% |
8.98% |
1994-1995 |
Variable |
8.38% |
8.38% |
1993-1994 |
Variable |
6.64% |
6.64% |
1992-1993 |
Variable |
NA |
7.36% |
This table shows the historical interest rates on the SLS, a predecessor to the Federal PLUS loans.
Fixed vs. Variable |
GSL |
|
7/1/1987 to 9/30/1992 |
Variable |
12M T-Bill + 3.10%, cap 11% |
11/1/1982 to 6/30/1987 |
Fixed |
12% |
10/1/1981 to 10/30/1982 |
Fixed |
14% |
1/1/1981 to 9/30/1981 |
Fixed |
9% |
Historical Interest Rate Formulas
This table shows the interest rate formulas and caps on the interest rates for Federal Stafford loans.
Date Disbursed |
Fixed vs. Variable |
Interest Rate Formula |
Cap |
7/1/2013 to present |
Fixed |
Undergrad: 10-Year Treasury Note + 2.05%
Grad: 10-Year Treasury Note + 3.60% |
8.25% 9.50% |
7/1/2006 to 6/30/2012 |
Fixed |
Interest rates ranged from 3.4% to 4.5% to 5.6% to 6.8% for subsidized loans to undergraduate students. All other interest rates were 6.8%. |
NA |
7/1/1998 to 6/30/2006 |
Variable |
In-School/Grace: 91-day T-bill + 1.7% Repayment: 91-day T-bill + 2.3% |
8.25% |
7/1/1995 to 6/30/1998 |
Variable |
In-School/Grace: 91-day T-bill + 2.5% Repayment: 91-day T-bill + 3.1% |
8.25% |
7/1/1994 to 6/30/1995 |
Variable |
91-day T-bill + 3.1% |
8.25% |
10/1/1992 to 6/30/1994 |
Variable |
91-day T-bill + 3.1% |
9.00% |
This table shows the interest rate formulas and caps on the interest rates for Federal PLUS loans.
Date Disbursed |
Fixed vs. Variable |
Interest Rate Formula |
Cap |
7/1/2013 to present |
Fixed |
10-Year Treasury Note + 4.60% |
10.50% |
7/1/2010 to 6/30/2012 |
Fixed |
7.9% |
NA |
7/1/2006 to 6/30/2010 |
Fixed |
DL: 7.9% FFEL: 8.5% |
NA |
7/1/1998 to 6/30/2006 |
Variable |
91-day T-bill + 3.1% |
9.00% |
7/1/1994 to 6/30/1998 |
Variable |
CMT + 3.1% |
9.00% |
10/1/1992 to 6/30/1994 |
Variable |
CMT + 3.1% |
10.00% |
Historical Fees on Federal Student Loans
This table shows the historical loan fees on Federal Stafford and Federal PLUS loans. The loan fees since 2013 are due to sequestration increasing the baseline loan fees.
Year |
Federal Stafford Loan |
Federal PLUS Loan |
2020-2021 (10/1/20-9/30/21) |
1.057% |
4.228% |
2019-2020 (10/1/19-9/30/20) |
1.059% |
4.236% |
2018-2019 (10/1/18-9/30/19) |
1.062% |
4.248% |
2017-2018 (10/1/17-9/30/18) |
1.066% |
4.264% |
2016-2017 (10/1/16 – 9/30/17) |
1.069% |
4.276% |
2015-2016 (10/1/15 – 9/30/16) |
1.068% |
4.272% |
2014-2015 (10/1/14 – 9/30/15) |
1.073% |
4.292% |
2014-2015 (7/1/14 – 9/30/14) |
1.072% |
4.288% |
2013-2014 (12/1/13 – 6/30/14) |
1.072% |
4.288% |
2013-2014 (7/1/13 – 11/30/13) |
1.051% |
4.204% |
2012-2013 |
1.000% |
4.000% |
2011-2012 |
1.000% |
4.000% |
2010-2011 |
1.000% |
4.000% |
2009-2010 |
1.500% |
4.000% |
2008-2009 |
2.000% |
4.000% |
2007-2008 |
2.500% |
4.000% |
2006-2007 |
3.000% |
4.000% |
2005-2006 and before |
4.000% |
4.000% |
