U.S. Department of Education Offers Two-year Trim on Student Loan Interest Rates

The U.S. Department of Education will temporarily reduce interest rates for federal student loan borrowers enrolled in auto pay starting July 1, the agency announced Thursday. 

Borrowers who enroll in auto pay — the optional feature that allows a borrower to have their monthly loan payment automatically deducted from their checking or savings account — will see a reduction in their interest rate by one full percentage point from July 1, 2026, through June 30, 2028. 

The change means a 6 percent interest rate would drop to 5 percent, for instance. 

Please select this link to read the complete article from Ohio Capital Journal.