Federal student loans are about to get more expensive. What you need to know

  • The government sets annual interest rates on student loans once a year.
  • This year’s uptick was greater than expected.
  • Here’s what borrowers need to know.

Federal student loans will soon be pricier.

The government sets annual interest rates on student loans once a year, and the percentage is based on the 10-year Treasury note.

Although the Department of Education hasn’t formally announced the new rates, this year’s bump is likely to be higher than expected, said Mark Kantrowitz, a student loan expert.

Read More: https://www.cnbc.com/2018/05/10/student-loans-just-got-more-expensive-.html