Student loan rates will increase soon
LAWTON, Okla. (KSWO) - Each year student loan rates are reset and determined by a formula set by congress.
This coming school year rates will increase from 3.73% to 4.99%.
The director of financial assistance services at Cameron University says the change will affect incoming students the most.
“Each July 1 the interest rates will change for students. Students loans at this point in time are a fixed rate so it will not affect anyone who has borrowed in the past,” said Pacheco
This means that any loans acquired in previous years will remain the same. The rate increase will only be for new loans received during the 2022-2023 academic year. She said that even though this is an increase, the rates don’t compare to past rates which have been as high as 8%.
“The students really need to stop and think about how much they are borrowing and only borrow for essential cost,” she said.
One Cameron students doesn’t think this is possible when rising cost around the country are affecting everything.
“The amount that I’m going to have to take out is going to increase because with everything increasing, everything that we are being charge will increase that will put more student loan debt on me,” said Chaney.
She said this may not be effecting her right now but it will in the future when she has to pay loans back.
“I’m sure it’s going to impact a lot of students and their decisions on whether to go forward with their higher education goals,” she said.
Pacheco advises student to live like a student while you’re in college so that you don’t have to live like a student when you are out of college.
She said if you are a student needing information on your loans or just want to find out about your rates you can visit studentaid.gov to view your information.
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