By Hanneh Bareham
From Bankrate.com
Federal student loan interest rates are set to rise for the 2022-23 academic year, following the U.S. Treasury Department’s 10-year note auction in May. The new rates will be 4.99 percent for undergraduate loans, 6.54 percent for graduate Direct Unsubsidized Loans, and 7.54 percent for PLUS loans. These rates will go into effect on July 1, 2022.
Every May, federal student loans are given a new fixed interest rate for the upcoming school year. These rates are calculated by combining the high yield on the 10-year Treasury note with a fixed congressional premium of 2.05 percent. This process took place today, resulting in a rate increase for the upcoming year….