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]
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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 https://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 https://
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
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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
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Fmt 4703
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Add-on
(%)
edition of the Federal Register and the
Code of Federal Regulations via the
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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 https://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 https://
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
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]]>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.
--------------------------------------------------------------------------------------------------------------------------------------------------------
Electronic Access to This Document: The official version of this
document is the document published in the Federal Register. You may
access the official edition of the Federal Register and the Code of
Federal Regulations via the
[[Page 53864]]
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
