Annual Notice of Interest Rates for Variable-Rate Federal Student Loans Made Under the Federal Family Education Loan Program Prior to July 1, 2010, 53861-53864 [2018-23371]

Download as PDF Federal Register / Vol. 83, No. 207 / Thursday, October 25, 2018 / Notices ACTION: Notice. In accordance with the Paperwork Reduction Act of 1995, ED is proposing a reinstatement of a previously approved information collection. DATES: Interested persons are invited to submit comments on or before November 26, 2018. ADDRESSES: To access and review all the documents related to the information collection listed in this notice, please use http://www.regulations.gov by searching the Docket ID number ED– 2017–ICCD–0149. Comments submitted in response to this notice should be submitted electronically through the Federal eRulemaking Portal at http:// www.regulations.gov by selecting the Docket ID number or via postal mail, commercial delivery, or hand delivery. Please note that comments submitted by fax or email and those submitted after the comment period will not be accepted. Written requests for information or comments submitted by postal mail or delivery should be addressed to the Director of the Information Collection Clearance Division, U.S. Department of Education, 550 12th Street SW, PCP, Room 9088, Washington, DC 20202–0023. FOR FURTHER INFORMATION CONTACT: For specific questions related to collection activities, please contact Bryan Thurmond, 202–205–4914. SUPPLEMENTARY INFORMATION: The Department of Education (ED), in accordance with the Paperwork Reduction Act of 1995 (PRA) (44 U.S.C. 3506(c)(2)(A)), provides the general public and Federal agencies with an opportunity to comment on proposed, revised, and continuing collections of information. This helps the Department assess the impact of its information collection requirements and minimize the public’s reporting burden. It also helps the public understand the Department’s information collection requirements and provide the requested data in the desired format. ED is soliciting comments on the proposed information collection request (ICR) that is described below. The Department of Education is especially interested in public comment addressing the following issues: (1) Is this collection necessary to the proper functions of the Department; (2) will this information be processed and used in a timely manner; (3) is the estimate of burden accurate; (4) how might the Department enhance the quality, utility, and clarity of the information to be collected; and (5) how might the Department minimize the burden of this collection on the daltland on DSKBBV9HB2PROD with NOTICES SUMMARY: VerDate Sep<11>2014 18:10 Oct 24, 2018 Jkt 247001 respondents, including through the use of information technology. Please note that written comments received in response to this notice will be considered public records. Title of Collection: Survey on the Use of Funds Under Title II, Part A: Supporting Effective Instruction Grants—Subgrants to LEAs. OMB Control Number: 1810–0618. Type of Review: A reinstatement of a previously approved information collection. Respondents/Affected Public: State, Local, and Tribal Governments. Total Estimated Number of Annual Responses: 4,326. Total Estimated Number of Annual Burden Hours: 8,577. Abstract: The Elementary and Secondary Education Act of 1965, as reauthorized by the Every Student Succeeds Act of 2015 (ESSA), provides funds to States to prepare, train, and recruit high-quality teachers, principals, and other school leaders. These funds are provided to districts through Title II, Part A (Supporting Effective Instruction Grants). The purpose of these surveys is to provide the U.S. Department of Education with a better understanding of how local educational agencies (LEAs) utilize these funds. This survey also collects data on teacher salaries funded by Title II, Part A, and professional development provided by LEAs to their teachers. Similar data have been collected under the Survey on the Use of Funds Under Title II, Part A prior to reauthorization of ESEA. This OMB clearance request is to continue these types of analyses, but using new data collection instruments updated to reflect changes due to the reauthorization of ESEA by the ESSA. The request is to begin data collection and analyses for the 2018–19 school year and subsequent years. Dated: October 19, 2018. Tomakie Washington, Acting Director, Information Collection Clearance Division, Office of the Chief Privacy Officer, Office of Management. [FR Doc. 2018–23275 Filed 10–24–18; 8:45 am] BILLING CODE 4000–01–P DEPARTMENT OF EDUCATION Annual Notice of Interest Rates for Variable-Rate Federal Student Loans Made Under the Federal Family Education Loan Program Prior to July 1, 2010 Federal Student Aid, Department of Education. ACTION: Notice. AGENCY: PO 00000 Frm 00015 Fmt 4703 Sfmt 4703 53861 The Acting Chief Operating Officer for Federal Student Aid announces the interest rates for loans made under the Federal Family Education Loan (FFEL) Program that have variable interest rates. The rates announced in this notice are in effect for the period July 1, 2018, through June 30, 2019. FOR FURTHER INFORMATION CONTACT: Jon Utz, U.S. Department of Education, 830 First Street NE, 11th Floor, Washington, DC 20202. Telephone: (202) 377–4040 or by email: Jon.Utz@ed.gov. If you use a telecommunications device for the deaf (TDD) or a text telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1–800–877– 8339. Individuals with disabilities can obtain this document in an accessible format (e.g., braille, large print, audiotape, or compact disc) on request to the contact person listed under FOR FURTHER INFORMATION CONTACT. SUPPLEMENTARY INFORMATION: Catalog of Federal Domestic Assistance (CFDA) Number: 84.032. Section 427A of the Higher Education Act of 1965, as amended (HEA) (20 U.S.C. 1077a), provides formulas for determining the interest rates charged to borrowers on loans made under the FFEL Program, including Federal Subsidized and Unsubsidized Stafford Loans (Stafford Loans), Federal PLUS Loans (PLUS Loans), Federal Consolidation Loans (Consolidation Loans), and Federal Supplemental Loans for Students (SLS Loans). No new loans have been made under the FFEL Program since June 30, 2010. The FFEL Program includes loans with variable interest rates that change each year and loans with fixed interest rates that remain the same for the life of the loan. For loans with a variable interest rate, the specific interest rate formula that applies to a particular loan depends on the date of the first disbursement of the loan or, in the case of a Consolidation Loan, the date the application for the loan was received. If a loan has a variable interest rate, a new rate is determined annually and is in effect during the period from July 1 of one year through June 30 of the following year. This notice announces the interest rates for variable-rate FFEL Program loans that will be in effect during the period from July 1, 2018, through June 30, 2019. Interest rates for fixed-rate FFEL Program loans may be found in a Federal Register notice published on September 15, 2015 (80 FR 55342). For the majority of variable-rate FFEL Program loans, the annual interest rate is equal to the lesser of— SUMMARY: E:\FR\FM\25OCN1.SGM 25OCN1 53862 Federal Register / Vol. 83, No. 207 / Thursday, October 25, 2018 / Notices (1) The bond equivalent rate of the 91day Treasury bills auctioned at the final auction held before June 1 of each year, plus a statutory add-on percentage; or (2) A statutorily established maximum interest rate. The bond equivalent rate of the 91day Treasury bills auctioned on May 29, 2018, is 1.931 percent, rounded to 1.93 percent. For PLUS Loans first disbursed before July 1, 1998, and for all SLS Loans, the annual interest rate is equal to the lesser of— (1) The weekly average of the one-year constant maturity Treasury yield, as published by the Board of Governors of the Federal Reserve System for the last day of the calendar week ending on or before June 26 of each year, plus a statutory add-on percentage; or (2) A statutorily established maximum interest rate. The weekly average of the one-year constant maturity Treasury yield as published for the week ending on or before June 26, 2018, is 2.34 percent. For Consolidation Loans that have a variable interest rate, the annual interest rate for the portion of a Consolidation Loan that repaid loans other than loans made under the Health Education Assistance Loans (HEAL) Program is equal to— (1) The bond equivalent rate of the 91day Treasury bill auctioned at the final auction held before June 1 of each year, plus a statutory add-on percentage; or (2) A statutorily established maximum interest rate. If a Consolidation Loan (whether a variable-rate loan or a fixed-rate loan) repaid loans made under the HEAL Program, the interest rate on the portion of the Consolidation Loan that repaid HEAL loans is a variable rate that is equal to the average of the bond equivalent rates of the 91-day Treasury bills auctioned for the quarter ending June 30, plus a statutory add-on percentage. For the portion of a Consolidation Loan that repaid HEAL loans, there is no maximum interest rate. The average of the bond equivalent rates of the 91-day Treasury bills auctioned for the quarter ending on June 30, 2018, is 1.88 percent. The statutory add-on percentages and maximum interest rates vary depending on loan type and when the loan was first disbursed. In addition, the add-on percentage for certain Stafford Loans is different depending on whether the loan is in an in-school, grace, or deferment status, or in any other status. If the interest rate calculated in accordance with the applicable formula exceeds the statutory maximum interest rate, the statutory maximum rate applies. Charts 1 through 4 show the interest rate formulas that are used to determine the interest rates for all variable-rate FFEL Program loans and the interest rates that are in effect during the 12month period from July 1, 2018, through June 30, 2019. Unless otherwise indicated, the cohorts shown in each chart include all borrowers, regardless of prior borrowing. Chart 1 shows the interest rates for loans with rates based on the 91-day Treasury bill, with the exception of ‘‘converted’’ variable-rate Federal Stafford Loans and certain Federal Consolidation Loans. Chart 2 shows the interest rates for loans with rates based on the weekly average of the one-year constant maturity Treasury yield. Chart 3 shows the interest rates for ‘‘converted’’ variable-rate Federal Stafford Loans. These are loans that originally had varying fixed interest rates. Finally, Chart 4 shows the interest rates for variable-rate Federal Consolidation Loans, and for the portion of any Federal Consolidation Loan that repaid loans made under the HEAL Program. CHART 1—SUBSIDIZED FEDERAL STAFFORD LOANS, UNSUBSIDIZED FEDERAL STAFFORD LOANS, AND FEDERAL PLUS LOANS [Interest rate based on 91-day treasury bill] daltland on DSKBBV9HB2PROD with NOTICES Loan type Cohort 91-day T-bill rate 05/29/18 (%) Add-on (%) First disbursed on/ after 07/01/98 and before 07/01/06. 1.93 PLUS .......................................... First disbursed on/ after 07/01/98 and before 07/01/06. 1.93 Subsidized Stafford .................... Unsubsidized Stafford First disbursed on/ after 07/01/95 and before 07/01/98. 1.93 Subsidized Stafford .................... Unsubsidized Stafford First disbursed on/ after 07/01/94 and before 07/01/95, for a period of enrollment that included or began on or after 07/01/94. 1.93 3.10 8.25 5.03 Subsidized Stafford .................... Unsubsidized Stafford First disbursed on/ after 10/01/92 and before 07/01/94; and First disbursed on/ after 07/01/94, for a period of enrollment ending before 07/ 01/94 (new borrowers) 1.93 3.10 9.00 5.03 18:10 Oct 24, 2018 Jkt 247001 PO 00000 Frm 00016 2.30 (any other status). 3.10 2.50 (in-school, grace, deferment). Fmt 4703 Sfmt 4703 3.10 (any other status). E:\FR\FM\25OCN1.SGM 8.25 Interest rate 07/01/18 through 06/ 30/19 (%) Subsidized Stafford .................... Unsubsidized Stafford VerDate Sep<11>2014 1.70 (in-school, grace, deferment). Maximum rate (%) 9.00 8.25 25OCN1 3.63 (in-school, grace, deferment). 4.23 (any other status). 5.03 4.43 (in-school, grace, deferment). 5.03 (any other status). 53863 Federal Register / Vol. 83, No. 207 / Thursday, October 25, 2018 / Notices CHART 2—FEDERAL PLUS LOANS AND SLS LOANS [Interest rate based on weekly average of one-year constant maturity treasury yield] Weekly average of 1-year constant maturity treasury yield for last calendar week ending on or before 06/26/ 18 (%) Loan type Cohort PLUS ........... PLUS ........... SLS .............. First disbursed on/after 07/01/94 and before 07/01/98 ......... First disbursed on/after 10/01/92 and before 07/01/94 ......... First disbursed on/after 10/01/92,for a period of enrollment beginning before 07/01/94. First disbursed before 10/01/92 ............................................. PLUS ........... SLS Add-on (%) Maximum rate (%) Interest rate 07/01/18 through 06/30/ 19 (%) 2.34 2.34 2.34 3.10 3.10 3.10 9.00 10.00 11.00 5.44 5.44 5.44 2.34 3.25 12.00 5.59 CHART 3—‘‘CONVERTED’’ VARIABLE-RATE SUBSIDIZED AND UNSUBSIDIZED FEDERAL STAFFORD LOANS [Interest rate based on 91-day treasury bill] Loan type Subsidized Stafford .............. Unsubsidized Stafford Subsidized Stafford .............. Unsubsidized Stafford Subsidized Stafford .............. Unsubsidized Stafford Subsidized Stafford .............. Unsubsidized Stafford Subsidized Stafford .............. Unsubsidized Stafford Subsidized Stafford .............. Unsubsidized Stafford Original fixed interest rate (later converted to variable rate) (%) Cohort First disbursed on or after 07/23/92 and before 07/ 01/94 (prior borrowers). First disbursed on or after 07/23/92 and before 07/ 01/94 (prior borrowers). First disbursed on or after 07/23/92 and before 07/ 01/94 (prior borrowers). First disbursed on or after 07/23/92 and before 07/ 01/94 (prior borrowers). First disbursed on or after 07/23/92 and before 10/ 01/92 (new borrowers). First disbursed on or after 07/01/88 and before 07/ 23/92. 91-day T-bill rate 05/29/18 (%) Add-on (%) Maximum rate (%) Interest rate 07/01/18 through 06/30/ 19 (%) 8.00, increasing to 10.00. 1.93 3.10 10.00 5.03 9.00 .............. 1.93 3.10 9.00 5.03 8.00 .............. 1.93 3.10 8.00 5.03 7.00 .............. 1.93 3.10 7.00 5.03 8.00, increasing to 10.00. 1.93 3.25 10.00 5.18 8.00, increasing to 10.00. 1.93 3.25 10.00 5.18 Maximum rate (%) Interest rate 07/01/18 through 06/30/ 19 (%) CHART 4—FEDERAL CONSOLIDATION LOANS daltland on DSKBBV9HB2PROD with NOTICES Consolidation loan component Portion of loan that repaid loans other than HEAL loans. Portion of the loan that repaid HEAL loans. Cohort Application received on/ after 11/13/97 and before 10/01/98. Application received on/ after 11/13/97. Electronic Access to This Document: The official version of this document is VerDate Sep<11>2014 18:10 Oct 24, 2018 Jkt 247001 91-day T-bill rate 05/29/18 (%) Average of the bond equivalent rates of the 91-day T-bills auctioned for the quarter ending 06/30/ 18 (%) 1.93 .............. N/A 3.10 8.25 5.03 N/A ............... 1.88 3.00 None 4.88 the document published in the Federal Register. You may access the official PO 00000 Frm 00017 Fmt 4703 Sfmt 4703 Add-on (%) edition of the Federal Register and the Code of Federal Regulations via the E:\FR\FM\25OCN1.SGM 25OCN1 53864 Federal Register / Vol. 83, No. 207 / Thursday, October 25, 2018 / Notices Federal Digital System at: www.gpo.gov/ fdsys. At this site you can view this document, as well as all other documents of this Department published in the Federal Register, in text or Portable Document Format (PDF). To use PDF you must have Adobe Acrobat Reader, which is available free at the site. You may also access documents of the Department published in the Federal Register by using the article search feature at: www.federalregister.gov. Specifically, through the advanced search feature at this site, you can limit your search to documents published by the Department. Program Authority: 20 U.S.C. 1071 et seq. Dated: October 22, 2018. James F. Manning, Acting Chief Operating Officer, Federal Student Aid. [FR Doc. 2018–23371 Filed 10–24–18; 8:45 am] BILLING CODE 4000–01–P DEPARTMENT OF EDUCATION [Docket No.: ED–2018–ICCD–0111] Agency Information Collection Activities; Comment Request; Student Assistance General Provisions—NonTitle IV Revenue Requirements (90/10) Federal Student Aid (FSA), Department of Education (ED). ACTION: Notice. AGENCY: In accordance with the Paperwork Reduction Act of 1995, ED is proposing an extension of an existing information collection. DATES: Interested persons are invited to submit comments on or before December 24, 2018. ADDRESSES: To access and review all the documents related to the information collection listed in this notice, please use http://www.regulations.gov by searching the Docket ID number ED– 2018–ICCD–0111. Comments submitted in response to this notice should be submitted electronically through the Federal eRulemaking Portal at http:// www.regulations.gov by selecting the Docket ID number or via postal mail, commercial delivery, or hand delivery. Please note that comments submitted by fax or email and those submitted after the comment period will not be accepted. Written requests for information or comments submitted by postal mail or delivery should be addressed to the Director of the Information Collection Clearance Division, U.S. Department of Education, 550 12th Street SW, PCP, Room 9086, Washington, DC 20202–0023. daltland on DSKBBV9HB2PROD with NOTICES SUMMARY: VerDate Sep<11>2014 18:10 Oct 24, 2018 Jkt 247001 For specific questions related to collection activities, please contact Beth Grebeldinger, 202–377–4018. SUPPLEMENTARY INFORMATION: The Department of Education (ED), in accordance with the Paperwork Reduction Act of 1995 (PRA) (44 U.S.C. 3506(c)(2)(A)), provides the general public and Federal agencies with an opportunity to comment on proposed, revised, and continuing collections of information. This helps the Department assess the impact of its information collection requirements and minimize the public’s reporting burden. It also helps the public understand the Department’s information collection requirements and provide the requested data in the desired format. ED is soliciting comments on the proposed information collection request (ICR) that is described below. The Department of Education is especially interested in public comment addressing the following issues: (1) Is this collection necessary to the proper functions of the Department; (2) will this information be processed and used in a timely manner; (3) is the estimate of burden accurate; (4) how might the Department enhance the quality, utility, and clarity of the information to be collected; and (5) how might the Department minimize the burden of this collection on the respondents, including through the use of information technology. Please note that written comments received in response to this notice will be considered public records. Title of Collection: Student Assistance General Provisions—Non-Title IV Revenue Requirements (90/10). OMB Control Number: 1845–0096. Type of Review: An extension of an existing information collection. Respondents/Affected Public: Private Sector. Total Estimated Number of Annual Responses: 1,872. Total Estimated Number of Annual Burden Hours: 2,808. Abstract: As enacted by the Higher Education Opportunity Act (Pub. L. 110–315), the regulations in 34 CFR 668.28 provide that a proprietary institution must derive at least 10% of its annual revenue from sources other than Title IV, HEA funds, sanctions for failing to meet this requirement, and otherwise implement the statute by (1) specifying a Net Present Value (NPV) formula used to establish the revenue for institutional loans, (2) providing an administratively easier alternative to the NPV calculation, and (3) describing more fully the non-Title IV eligible programs from which revenue may be FOR FURTHER INFORMATION CONTACT: PO 00000 Frm 00018 Fmt 4703 Sfmt 4703 counted for 90/10 purposes. The regulations require an institution to disclose in a footnote to its audited financial statements the amounts of Federal and non-Federal revenues, by category, that it used in calculating its 90/10 ratio (see section 487(d) of the HEA). This is a request to extend the information collection that identifies the reporting burden for this regulation. Dated: October 22, 2018. Kate Mullan, Acting Director, Information Collection Clearance Division, Office of the Chief Privacy Officer, Office of Management. [FR Doc. 2018–23364 Filed 10–24–18; 8:45 am] BILLING CODE 4000–01–P DEPARTMENT OF EDUCATION Annual Notice of Interest Rates for Fixed-Rate Federal Student Loans Made Under the William D. Ford Federal Direct Loan Program Federal Student Aid, Department of Education. ACTION: Notice. AGENCY: The Acting Chief Operating Officer for Federal Student Aid announces the interest rates for Federal Direct Stafford/Ford Loans (Direct Subsidized Loans), Federal Direct Unsubsidized Stafford/Ford Loans (Direct Unsubsidized Loans), and Federal Direct PLUS Loans (Direct PLUS Loans) made under the William D. Ford Federal Direct Loan (Direct Loan) Program with first disbursement dates on or after July 1, 2018, and before July 1, 2019. FOR FURTHER INFORMATION CONTACT: Jon Utz, U.S. Department of Education, 830 First Street NE, 11th Floor, Washington, DC 20202. Telephone: (202) 377–4040 or by email: Jon.Utz@ed.gov. If you use a telecommunications device for the deaf (TDD) or a text telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1–800–877– 8339. SUMMARY: Catalog of Federal Domestic Assistance (CFDA) Number: 84.268. Direct Subsidized Loans, Direct Unsubsidized Loans, Direct PLUS Loans, and Direct Consolidation Loans (collectively referred to as ‘‘Direct Loans’’) may have either fixed or variable interest rates, depending on when the loan was first disbursed or, in the case of a Direct Consolidation Loan, when the application for the loan was received. Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct PLUS Loans first disbursed on or after SUPPLEMENTARY INFORMATION: E:\FR\FM\25OCN1.SGM 25OCN1

Agencies

[Federal Register Volume 83, Number 207 (Thursday, October 25, 2018)]
[Notices]
[Pages 53861-53864]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-23371]


-----------------------------------------------------------------------

DEPARTMENT OF EDUCATION


Annual Notice of Interest Rates for Variable-Rate Federal Student 
Loans Made Under the Federal Family Education Loan Program Prior to 
July 1, 2010

AGENCY: Federal Student Aid, Department of Education.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: The Acting Chief Operating Officer for Federal Student Aid 
announces the interest rates for loans made under the Federal Family 
Education Loan (FFEL) Program that have variable interest rates. The 
rates announced in this notice are in effect for the period July 1, 
2018, through June 30, 2019.

FOR FURTHER INFORMATION CONTACT: Jon Utz, U.S. Department of Education, 
830 First Street NE, 11th Floor, Washington, DC 20202. Telephone: (202) 
377-4040 or by email: [email protected].
    If you use a telecommunications device for the deaf (TDD) or a text 
telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1-
800-877-8339.
    Individuals with disabilities can obtain this document in an 
accessible format (e.g., braille, large print, audiotape, or compact 
disc) on request to the contact person listed under FOR FURTHER 
INFORMATION CONTACT.

SUPPLEMENTARY INFORMATION: Catalog of Federal Domestic Assistance 
(CFDA) Number: 84.032.
    Section 427A of the Higher Education Act of 1965, as amended (HEA) 
(20 U.S.C. 1077a), provides formulas for determining the interest rates 
charged to borrowers on loans made under the FFEL Program, including 
Federal Subsidized and Unsubsidized Stafford Loans (Stafford Loans), 
Federal PLUS Loans (PLUS Loans), Federal Consolidation Loans 
(Consolidation Loans), and Federal Supplemental Loans for Students (SLS 
Loans). No new loans have been made under the FFEL Program since June 
30, 2010.
    The FFEL Program includes loans with variable interest rates that 
change each year and loans with fixed interest rates that remain the 
same for the life of the loan. For loans with a variable interest rate, 
the specific interest rate formula that applies to a particular loan 
depends on the date of the first disbursement of the loan or, in the 
case of a Consolidation Loan, the date the application for the loan was 
received. If a loan has a variable interest rate, a new rate is 
determined annually and is in effect during the period from July 1 of 
one year through June 30 of the following year.
    This notice announces the interest rates for variable-rate FFEL 
Program loans that will be in effect during the period from July 1, 
2018, through June 30, 2019. Interest rates for fixed-rate FFEL Program 
loans may be found in a Federal Register notice published on September 
15, 2015 (80 FR 55342).
    For the majority of variable-rate FFEL Program loans, the annual 
interest rate is equal to the lesser of--

[[Page 53862]]

    (1) The bond equivalent rate of the 91-day Treasury bills auctioned 
at the final auction held before June 1 of each year, plus a statutory 
add-on percentage; or
    (2) A statutorily established maximum interest rate.
    The bond equivalent rate of the 91-day Treasury bills auctioned on 
May 29, 2018, is 1.931 percent, rounded to 1.93 percent.
    For PLUS Loans first disbursed before July 1, 1998, and for all SLS 
Loans, the annual interest rate is equal to the lesser of--
    (1) The weekly average of the one-year constant maturity Treasury 
yield, as published by the Board of Governors of the Federal Reserve 
System for the last day of the calendar week ending on or before June 
26 of each year, plus a statutory add-on percentage; or
    (2) A statutorily established maximum interest rate.
    The weekly average of the one-year constant maturity Treasury yield 
as published for the week ending on or before June 26, 2018, is 2.34 
percent.
    For Consolidation Loans that have a variable interest rate, the 
annual interest rate for the portion of a Consolidation Loan that 
repaid loans other than loans made under the Health Education 
Assistance Loans (HEAL) Program is equal to--
    (1) The bond equivalent rate of the 91-day Treasury bill auctioned 
at the final auction held before June 1 of each year, plus a statutory 
add-on percentage; or
    (2) A statutorily established maximum interest rate.
    If a Consolidation Loan (whether a variable-rate loan or a fixed-
rate loan) repaid loans made under the HEAL Program, the interest rate 
on the portion of the Consolidation Loan that repaid HEAL loans is a 
variable rate that is equal to the average of the bond equivalent rates 
of the 91-day Treasury bills auctioned for the quarter ending June 30, 
plus a statutory add-on percentage. For the portion of a Consolidation 
Loan that repaid HEAL loans, there is no maximum interest rate.
    The average of the bond equivalent rates of the 91-day Treasury 
bills auctioned for the quarter ending on June 30, 2018, is 1.88 
percent.
    The statutory add-on percentages and maximum interest rates vary 
depending on loan type and when the loan was first disbursed. In 
addition, the add-on percentage for certain Stafford Loans is different 
depending on whether the loan is in an in-school, grace, or deferment 
status, or in any other status. If the interest rate calculated in 
accordance with the applicable formula exceeds the statutory maximum 
interest rate, the statutory maximum rate applies.
    Charts 1 through 4 show the interest rate formulas that are used to 
determine the interest rates for all variable-rate FFEL Program loans 
and the interest rates that are in effect during the 12-month period 
from July 1, 2018, through June 30, 2019. Unless otherwise indicated, 
the cohorts shown in each chart include all borrowers, regardless of 
prior borrowing.
    Chart 1 shows the interest rates for loans with rates based on the 
91-day Treasury bill, with the exception of ``converted'' variable-rate 
Federal Stafford Loans and certain Federal Consolidation Loans.
    Chart 2 shows the interest rates for loans with rates based on the 
weekly average of the one-year constant maturity Treasury yield.
    Chart 3 shows the interest rates for ``converted'' variable-rate 
Federal Stafford Loans. These are loans that originally had varying 
fixed interest rates.
    Finally, Chart 4 shows the interest rates for variable-rate Federal 
Consolidation Loans, and for the portion of any Federal Consolidation 
Loan that repaid loans made under the HEAL Program.

                         Chart 1--Subsidized Federal Stafford Loans, Unsubsidized Federal Stafford Loans, and Federal Plus Loans
                                                      [Interest rate based on 91-day treasury bill]
 
 
--------------------------------------------------------------------------------------------------------------------------------------------------------
Loan type                       Cohort..........   91-day T-bill              Add-on (%)                Maximum rate  Interest rate 07/01/18 through 06/
                                                   rate 05/29/18                                                 (%)               30/19 (%)
                                                             (%)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subsidized Stafford...........  First disbursed             1.93  1.70 (in-school,  2.30 (any other             8.25  3.63 (in-school,  4.23 (any other
Unsubsidized Stafford.........   on/after 07/01/                   grace,            status).                          grace,            status).
                                 98 and before                     deferment).                                         deferment).
                                 07/01/06.
--------------------------------------------------------------------------------------------------------------------------------------------------------
PLUS..........................  First disbursed             1.93                 3.10                           9.00                 5.03
                                 on/after 07/01/
                                 98 and before
                                 07/01/06.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subsidized Stafford...........  First disbursed             1.93  2.50 (in-school,  3.10 (any other             8.25  4.43 (in-school,  5.03 (any other
Unsubsidized Stafford.........   on/after 07/01/                   grace,            status).                          grace,            status).
                                 95 and before                     deferment).                                         deferment).
                                 07/01/98.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subsidized Stafford...........  First disbursed             1.93                 3.10                           8.25                 5.03
Unsubsidized Stafford.........   on/after 07/01/
                                 94 and before
                                 07/01/95, for a
                                 period of
                                 enrollment that
                                 included or
                                 began on or
                                 after 07/01/94.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subsidized Stafford...........  First disbursed             1.93                 3.10                           9.00                 5.03
Unsubsidized Stafford.........   on/after 10/01/
                                 92 and before
                                 07/01/94; and
                                First disbursed
                                 on/after 07/01/
                                 94, for a
                                 period of
                                 enrollment
                                 ending before
                                 07/01/94 (new
                                 borrowers).
--------------------------------------------------------------------------------------------------------------------------------------------------------


[[Page 53863]]


                                    Chart 2--Federal Plus Loans and SLS Loans
              [Interest rate based on weekly average of one-year constant maturity treasury yield]
----------------------------------------------------------------------------------------------------------------
                                                  Weekly average
                                                     of 1-year
                                                     constant
                                                     maturity                                      Interest rate
                                                  treasury yield                   Maximum rate      07/01/18
        Loan type                 Cohort             for last       Add-on (%)          (%)       through 06/30/
                                                   calendar week                                      19 (%)
                                                   ending on or
                                                   before 06/26/
                                                      18 (%)
----------------------------------------------------------------------------------------------------------------
PLUS....................  First disbursed on/               2.34            3.10            9.00            5.44
                           after 07/01/94 and
                           before 07/01/98.
PLUS....................  First disbursed on/               2.34            3.10           10.00            5.44
                           after 10/01/92 and
                           before 07/01/94.
SLS.....................  First disbursed on/               2.34            3.10           11.00            5.44
                           after 10/01/92,for a
                           period of enrollment
                           beginning before 07/
                           01/94.
PLUS....................  First disbursed before            2.34            3.25           12.00            5.59
                           10/01/92.
SLS
----------------------------------------------------------------------------------------------------------------


                                 Chart 3--``Converted'' Variable-Rate Subsidized and Unsubsidized Federal Stafford Loans
                                                      [Interest rate based on 91-day treasury bill]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                           Interest rate
                                                                 Original fixed interest   91-day T-bill                   Maximum rate      07/01/18
              Loan type                         Cohort            rate (later converted    rate 05/29/18    Add-on (%)          (%)       through 06/30/
                                                                  to variable rate) (%)         (%)                                           19 (%)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Subsidized Stafford..................  First disbursed on or     8.00, increasing to                1.93            3.10           10.00            5.03
Unsubsidized Stafford................   after 07/23/92 and        10.00.
                                        before 07/01/94 (prior
                                        borrowers).
Subsidized Stafford..................  First disbursed on or     9.00...................            1.93            3.10            9.00            5.03
Unsubsidized Stafford................   after 07/23/92 and
                                        before 07/01/94 (prior
                                        borrowers).
Subsidized Stafford..................  First disbursed on or     8.00...................            1.93            3.10            8.00            5.03
Unsubsidized Stafford................   after 07/23/92 and
                                        before 07/01/94 (prior
                                        borrowers).
Subsidized Stafford..................  First disbursed on or     7.00...................            1.93            3.10            7.00            5.03
Unsubsidized Stafford................   after 07/23/92 and
                                        before 07/01/94 (prior
                                        borrowers).
Subsidized Stafford..................  First disbursed on or     8.00, increasing to                1.93            3.25           10.00            5.18
Unsubsidized Stafford................   after 07/23/92 and        10.00.
                                        before 10/01/92 (new
                                        borrowers).
Subsidized Stafford..................  First disbursed on or     8.00, increasing to                1.93            3.25           10.00            5.18
Unsubsidized Stafford................   after 07/01/88 and        10.00.
                                        before 07/23/92.
--------------------------------------------------------------------------------------------------------------------------------------------------------


                                                          Chart 4--Federal Consolidation Loans
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                          Average of the
                                                                                               bond
                                                                                            equivalent
                                                                                           rates of the                                    Interest rate
     Consolidation loan component               Cohort            91-day T-bill rate 05/  91-day T-bills    Add-on (%)     Maximum rate      07/01/18
                                                                        29/18 (%)          auctioned for                        (%)       through 06/30/
                                                                                            the quarter                                       19 (%)
                                                                                           ending 06/30/
                                                                                              18 (%)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Portion of loan that repaid loans      Application received on/  1.93...................             N/A            3.10            8.25            5.03
 other than HEAL loans.                 after 11/13/97 and
                                        before 10/01/98.
Portion of the loan that repaid HEAL   Application received on/  N/A....................            1.88            3.00            None            4.88
 loans.                                 after 11/13/97.
--------------------------------------------------------------------------------------------------------------------------------------------------------

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    Program Authority: 20 U.S.C. 1071 et seq.

    Dated: October 22, 2018.
James F. Manning,
Acting Chief Operating Officer, Federal Student Aid.
[FR Doc. 2018-23371 Filed 10-24-18; 8:45 am]
 BILLING CODE 4000-01-P