This will take effect for new Federal student loan borrowers after July 1, 2019. GettyNew Federal Student Loan Rates For 2019 - 2020From July 1, 2019 to June 30, 2020, the rates on Federal student loans will be:Undergraduate Subsidized and Unsubsidized Direct Loans: 4.53%4.53% Graduate Direct Loans: 6.08%6.08% Graduate and Parent PLUS Loans: 7.08%These represent a sizable decrease in interest rates. Private Student LoansThe rates above are what are charged for Federal student loans, not private student loans. The interest rates charged by private student loans are set by the individual banks, and sometimes are even better than the Federal loan interest rates. Given that student loan interest rates have decreased, borrowers can expect to see savings on the total cost of their education.

Source: Forbes May 08, 2019 21:22 UTC