Publication Date: July 2, 2008
Bulletin ID: DLB-08-18
Summary: Interest Rates for Direct Loan Program Loans
Dear Direct Loan Colleague:
This bulletin provides the new interest rates for variable rate William
D. Ford Federal Direct Loan (Direct Loan) Program loans that will be in
effect from July 1, 2008 through June 30, 2009. The bulletin also provides
the interest rates for fixed rate Direct Loan Program loans.
Attached are charts that show the new interest rates for variable rate
Direct Subsidized Loans, Direct Unsubsidized Loans, Direct Subsidized
Consolidation Loans, Direct Unsubsidized Consolidation Loans, Direct PLUS
Loans, and Direct PLUS Consolidation Loans. The charts also show how the
new interest rates were determined using either the 91-day Treasury bill
rate or the weekly average of a 1-year constant maturity Treasury yield,
as published by the Board of Governors of the Federal Reserve System,
and the appropriate add-on percentages.
All Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct PLUS
Loans with a first disbursement date on or after July 1, 2006, and all
Direct Consolidation Loans for which the application was received on or
after February 1, 1999 have a fixed interest rate. The interest rates
for these loans are also included in the attached charts.
The interest rates are determined in accordance with Section 455(b) of
the Higher Education Act of 1965, as amended (HEA). You can find the regulations
for Direct Loan Program interest rates at 34 CFR 685.202(a).
If you have questions about the information contained in this bulletin,
please contact the COD School Relations Center at 800/848-0978 or by e-mail
at CODSupport@acs-inc.com.
Thank you for your ongoing partnership in the Direct Loan Program.
Sincerely,
William Leith
Acting General Manager, Application, Operations and Delivery Services
Attachments/Enclosures:
Direct Loan Program
Interest Rates 7-1-2008 through 6-30-2009 in PDF Format, 69KB, 5 pages
Posted 07/03/08 to www.NASFAA.org. Please submit Web Site questions or comments to Web@NASFAA.org
