Fed student loan interest rate to hit 12 year high

(CNN)– Student loan borrowers can now expect to pay even more on their loans.

The interest rates on new federal student loans are expected to hit a twelve year high.

This upcoming 2024 to 2025 academic college year, the interest rates for undergraduate student loans will rise above six and a half percent.

The federal student loan interest rate has not been that high since the 2012 to 2013 school year.

The Biden Administration says it’s currently working on a set of new proposals to deliver relief to certain groups of borrowers.