For loans disbursed between July 1, 2026 and June 30, 2027 the interest rate is fixed at 9.07% (disbursement is the payment of the loan proceeds by the lender).
Borrowers are charged, by the federal government, an up-front origination fee of 4.228%. The fee is a percentage of the total loan amount and comes out of the amount of money that is disbursed to you while you’re in school. This means the money you receive will be less than the amount that is actually borrowed. You’re responsible for repaying the entire amount you borrowed and not just the amount you received.