Medical school loans – new rates go into effect July 1st
Inflation continues to impact all aspects of our financial lives, and that includes loan interest rates. All of the 2024-2025 school year federal student loan rates have been announced. This includes undergraduate direct loans, graduate loans, and GradPLUS and ParentPLUS loans.
| Interest rate | Interest rate | Origination fee | |
| 2023-2024 | 2024-2025 | ||
| Undergraduate direct loans [1, 2] | 5.50% | 6.53% | 1.057% |
| Graduate loans [1, 2] | 7.05% | 8.08% | 1.057% |
| GradPLUS and ParentPLUS loans [1, 2] | 8.05% | 9.08% | 4.228% |
These interest rates persist for the lifetime of the loan.
Loan origination fees are an up front cost, they are paid by withholding from the initial disbursement. (Want a history lesson about the fluctuations of student loan fees? Try this article.)
Do you know what the upfront, monthly, and lifetime cost of your planned education route will be? If you knew now, would that change your plans?
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