Federal student loan rates, 2026-27

Repayment plans in 2026

Standard Repayment Plan (original)

Fixed monthly payments over up to 10 years (Direct Consolidation loans may run longer) Loans made before 2026-07-01, for borrowers who take out no new federal loan on or after 2026-07-01

Graduated Repayment Plan

Payments start low and rise every 2 years, over up to 10 years Legacy borrowers only: loans made before 2026-07-01, with no new loan on or after 2026-07-01

Extended Repayment Plan

Fixed or graduated payments over up to 25 years; requires more than $30,000 in outstanding loans Legacy borrowers only (loans made before 2026-07-01, no new loan on or after that date) with more than $30,000 in federal student loans

Tiered Standard Repayment Plan (new under OBBBA / P.L. 119-21)

Fixed payments, with the term set by total outstanding Direct Loan principal when entering repayment: under $25,000 = 10 years; $25,000-$49,999 = 15 years; $50,000-$99,999 = 20 years; $100,000 or more = 25 years. Minimum payment is $50/month, or the balance if that is less. Direct Loans first disbursed on or after 2026-07-01. A borrower who takes any new loan on or after that date gets only Tiered Standard or RAP for ALL their loans, including older ones. It is the default plan when no plan is chosen.

Repayment Assistance Plan (RAP)

Income-driven plan. The payment is a bracketed percentage of AGI: $10/month minimum at AGI of $10,000 or less, then 1% for $10,001-$20,000, 2% for $20,001-$30,000, and so on up to 10% above $100,000. That amount is divided by 12, minus $50 per dependent, with a $10 minimum. Unpaid interest is waived and up to $50/month of principal is matched. Any remaining balance is forgiven after 360 qualifying payments (30 years). Most Direct Loan borrowers, from 2026-07-01. Not available to Parent PLUS borrowers who take out any federal loan on or after 2026-07-01. PAYE enrollees are moved to RAP if they don't switch before 2028-07-01.

Legacy IDR (ICR, PAYE, IBR) transition

ICR and PAYE remain until 2028-07-01. After that IBR is the only old IDR plan: ICR enrollees who don't switch go to IBR, and PAYE enrollees go to RAP. Borrowers with loans made before 2026-07-01

Borrowing limit changes (OBBBA, effective 2026-07-01)

Grad PLUS is eliminated for new borrowers (legacy: up to 3 more academic years in the current program). Parent PLUS is capped at $20,000/year per child and $65,000 lifetime per child. Graduate Direct Unsubsidized is $20,500/year and $100,000 aggregate. Professional students get $50,000/year and $200,000 aggregate. New borrowers not covered by the legacy provision

Private student loans

Private student loan rates are set by each lender and depend on the borrower's or cosigner's credit and income, the loan size, the degree and the repayment term. Advertised low-end rates usually include autopay discounts. A published range in September 2026 ran from about 2.99% to 17.99% APR (Bankrate, a secondary source).