August 9, 2007
Will fluctuations in the market affect my student loans?
Will the fluctuating market/interest rates affect my student loans?
It depends on what type of loans you have.
New Federal loans, such as Stafford, PLUS and Perkins will NOT be affected by the fluctuating interest rate changes. Federal loan interest rates are set by Congress once a year. You’re safe till next year!
Some of you older students may have variable-rate Federal Loans. If you didn’t consolidate your loans, then you will be affected. But by now, you’re used to that happening.
Private loans will be affected! Even consolidated ones have a variable interest rate. Read the find print carefully to see how often your rate can change.