Interest rate for Stafford Loan is likely to increase!!
Date: Wed, 10/19/2005 - 14:41
Here is a news for student community. A recent report is saying that the interest rate of Stafford Loan is very much prone to increase by next year.
Higher Education Act is going to be revised and if the proposed bill passes, then the interest for Stafford Loan will jump to 6.8% while currently borrowers have to pay 5.3% interest on Stafford Loans.
The bill is still under revision. But as the bell has rung already, students are trying to consolidate their loans and thereby locking it at a lower rate of interest.
Hope it helps you all. If anybody else has some more details on this subject, please post here.
Higher Education Act is going to be revised and if the proposed bill passes, then the interest for Stafford Loan will jump to 6.8% while currently borrowers have to pay 5.3% interest on Stafford Loans.
The bill is still under revision. But as the bell has rung already, students are trying to consolidate their loans and thereby locking it at a lower rate of interest.
Hope it helps you all. If anybody else has some more details on this subject, please post here.
Bad news
It's a bad news. Federal loans had been so much friendly for students. This increase will cause trouble. Have you thought one thing? If the interest on student loan increases, the interest for consolidation loan will also increase, since they use weighted average to determine the consolidation loan interest.
