81 FR 38159 - Annual Notice of Interest Rates of Federal Student Loans Made Under the William D. Ford Federal Direct Loan Program on or After July 1, 2013
DEPARTMENT OF EDUCATION Federal Register Volume 81, Issue 113 (June 13, 2016)
Federal Register Volume 81, Issue 113 (June 13, 2016)
| Page Range | 38159-38160 | |
| FR Document | 2016-13937 |
[Federal Register Volume 81, Number 113 (Monday, June 13, 2016)] [Notices] [Pages 38159-38160] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2016-13937] ----------------------------------------------------------------------- DEPARTMENT OF EDUCATION Annual Notice of Interest Rates of Federal Student Loans Made Under the William D. Ford Federal Direct Loan Program on or After July 1, 2013 AGENCY: Federal Student Aid, Department of Education. ACTION: Notice. ----------------------------------------------------------------------- Catalog of Federal Domestic Assistance (CFDA) Number: 84.268. DATES: This notice is effective June 13, 2016. SUMMARY: The Chief Operating Officer for Federal Student Aid announces the interest rates for loans made under the William D. Ford Federal Direct Loan (Direct Loan) Program on or after July 1, 2016, but before July 1, 2017. FOR FURTHER INFORMATION CONTACT: Rene Tiongquico, U.S. Department of Education, 830 First Street NE., 11th Floor, Washington, DC 20202. Telephone: (202) 377-4270 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: Section 455(b) of the Higher Education Act of 1965, as amended (HEA) (20 U.S.C. 1087e(b)), provides formulas for determining the interest rates charged to borrowers for loans made under the [[Page 38160]] Direct Loan Program including: Federal Direct Subsidized Stafford Loans (Direct Subsidized Loans); Federal Direct Unsubsidized Stafford Loans (Direct Unsubsidized Loans); Federal Direct PLUS Loans (Direct PLUS Loans); and Federal Direct Consolidation Loans (Direct Consolidation Loans). Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct PLUS Loans (collectively, Direct Loans) first disbursed on or after July 1, 2013, have a fixed interest rate that is calculated based on the high yield of the 10-year Treasury notes auctioned at the final auction held before June 1 of each year, plus a statutory add-on percentage (a ``margin''). Therefore, while the interest rate determination for new loans will be different from year to year, each of these loans will have a fixed interest rate for the life of the loan. In each case the calculated rate is capped by a maximum interest rate. On Wednesday, May 11, 2016, the United States Treasury Department held a 10-year Treasury note auction that resulted in a high yield of 1.710%. The following chart contains specific information on the calculation of the interest rates for Direct Loans first disbursed on or after July 1, 2016, but before July 1, 2017. We publish a separate notice containing the interest rates for Direct Loans that were made in prior years. Fixed-Rate Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct PLUS Loans First Disbursed on or After 7/1/2016 but before 7/1/2017 -------------------------------------------------------------------------------------------------------------------------------------------------------- Cohort Index rate ------------------------------------------------ Loan type Student grade level First First 10-Year Margin (%) Fixed rate (%) Max. rate (%) disbursed on/ disbursed treasury note after before (%) -------------------------------------------------------------------------------------------------------------------------------------------------------- Subsidized.................... Undergraduates.......... 7/1/2016 7/1/2017 1.710 2.05 3.76 8.25 Unsubsidized.................. Undergraduates.......... 7/1/2016 7/1/2017 1.710 2.05 3.76 8.25 Unsubsidized.................. Graduate and 7/1/2016 7/1/2017 1.710 3.60 5.31 9.50 Professional Students. PLUS.......................... Parents of Dependent 7/1/2016 7/1/2017 1.710 4.60 6.31 10.50 Undergraduates. PLUS.......................... Graduate and 7/1/2016 7/1/2017 1.710 4.60 6.31 10.50 Professional Students. -------------------------------------------------------------------------------------------------------------------------------------------------------- If an application for a Direct Consolidation Loan is received by the Department on or after July 1, 2013, the interest rate on that loan is the weighted average of the consolidated loans, rounded up to the nearest higher \1/8\ of 1 percent. These Direct Consolidation Loans do not have an interest rate cap. Electronic Access to This Document: The official version of this document is the document published in the Federal Register. Free Internet access to the official edition of the Federal Register and the Code of Federal Regulations is available via the Federal Digital System at www.thefederalregister.org/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 Adobe 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. 1087, et seq. Dated: June 8, 2016. James W. Runcie, Chief Operating Officer, Federal Student Aid. [FR Doc. 2016-13937 Filed 6-10-16; 8:45 am] BILLING CODE 4000-01-P
![Federal Register / Vol. 81, No. 113 / Monday, June 13, 2016 / Notices 38159
version of your GAN. We may notify international or foreign language at: www.gpo.gov/fdsys. At this site you
you informally, also. studies. can view this document, as well as all
If your application is not evaluated or If funded, you will be required to other documents of this Department
not selected for funding, we notify you. collect and report data in IRIS on those published in the Federal Register, in
2. Administrative and National Policy measures and steps taken toward text or PDF. To use PDF you must have
Requirements: We identify improving performance on those Adobe Acrobat Reader, which is
administrative and national policy outcomes. Consequently, applicants are available free at the site.
requirements in the application package advised to include these outcomes in You may also access documents of the
and reference these and other conceptualizing the design, Department published in the Federal
requirements in the Applicable implementation, and evaluation of their Register by using the article search
Regulations section of this notice. proposed projects. Their measurement function at www.federalregister.gov.
We reference the regulations outlining should be a part of the proposed project Specifically, through the advanced
the terms and conditions of an award in evaluation plan, along with measures of search feature at this site, you can limit
the Applicable Regulations section of progress and on the goals and objectives your search to documents published by
this notice and include these and other specific to your project. the Department.
specific conditions in the GAN. The The information provided by grantees Dated: June 8, 2016.
GAN also incorporates your approved in their performance reports submitted
Lynn B. Mahaffie,
application as part of your binding via IRIS will be the source of data for
Deputy Assistant Secretary for Policy,
commitments under the grant. these performance measures. Planning and Innovation, Delegated the
3. Reporting: (a) If you apply for a 5. Continuation Awards: In making a Duties of Assistant Secretary for
grant under this competition, you must continuation award under 34 CFR Postsecondary Education.
ensure that you have in place the 75.253, the Secretary considers, among [FR Doc. 2016–13933 Filed 6–10–16; 8:45 am]
necessary processes and systems to other things: whether a grantee has
BILLING CODE 4000–01–P
comply with the reporting requirements made substantial progress toward
in 2 CFR part 170 should you receive meeting the goals and objectives of the
funding under the competition. This project; whether the grantee has DEPARTMENT OF EDUCATION
does not apply if you have an exception expended funds in a manner that is
under 2 CFR 170.110(b). consistent with its approved application Annual Notice of Interest Rates of
(b) At the end of your project period, and budget; and, if the Secretary has Federal Student Loans Made Under the
you must submit a final performance established performance measurement William D. Ford Federal Direct Loan
report, including financial information, requirements, the performance targets in Program on or After July 1, 2013
as specified by the Secretary. If you the grantee’s approved application.
In making a continuation grant, the AGENCY: Federal Student Aid,
receive a multiyear award, you must Department of Education.
Secretary also considers whether the
submit an annual performance report ACTION: Notice.
grantee is operating in compliance with
that provides the most current
the assurances in its approved
performance and financial expenditure Catalog of Federal Domestic Assistance
application, including those applicable
information as directed by the Secretary (CFDA) Number: 84.268.
to Federal civil rights laws that prohibit
under 34 CFR 75.118. Grantees are DATES: This notice is effective June 13,
discrimination in programs or activities
required to use the online data and 2016.
receiving Federal financial assistance
reporting system, the International SUMMARY: The Chief Operating Officer
from the Department (34 CFR 100.4,
Resource Information System (IRIS), to for Federal Student Aid announces the
104.5, 106.4, 108.8, and 110.23).
complete their interim and final reports. interest rates for loans made under the
The Secretary may also require more VII. Agency Contact William D. Ford Federal Direct Loan
frequent performance reports under 34 For Further Information Contact: (Direct Loan) Program on or after July 1,
CFR 75.720(c). For specific Tanyelle Richardson, U.S. Department 2016, but before July 1, 2017.
requirements on reporting, please go to of Education, 400 Maryland Ave, SW., FOR FURTHER INFORMATION CONTACT:
www.ed.gov/fund/grant/apply/ room 3E211, Washington, DC 20202– Rene Tiongquico, U.S. Department of
appforms/appforms.html. 4260. Telephone: (202) 453–6391 or by Education, 830 First Street NE., 11th
(c) Under 34 CFR 75.250(b), the email: tanyelle.richardson@ed.gov. Floor, Washington, DC 20202.
Secretary may provide a grantee with If you use a TDD or a TTY, call the Telephone: (202) 377–4270 or by email:
additional funding for data collection FRS, toll-free, at 1–800–877–8339. Rene.Tiongquico@ed.gov.
analysis and reporting. In this case, the If you use a telecommunications
Secretary establishes a data collection VIII. Other Information device for the deaf (TDD) or a text
period. Accessible Format: Individuals with telephone (TTY), call the Federal Relay
4. Performance Measures: Under the disabilities can obtain this document Service (FRS), toll free, at 1–800–877–
Government Performance and Results and a copy of the application package in 8339.
Act of 1993, as updated by the GPRA an accessible format (e.g., braille, large Individuals with disabilities can
Modernization Act of 2010 on January 4, print, audiotape, or computer disc) on obtain this document in an accessible
2011, the Department will use the request to the program contact person format (e.g., braille, large print,
following performance measures to listed under FOR FURTHER INFORMATION audiotape, or compact disc) on request
evaluate the success of the UISFL CONTACT in section VII of this notice. to the contact person listed under FOR
srobinson on DSK5SPTVN1PROD with NOTICES
Program: percentage of UISFL projects Electronic Access to This Document: FURTHER INFORMATION CONTACT.
that added or enhanced courses in The official version of this document is SUPPLEMENTARY INFORMATION: Section
international studies in critical world the document published in the Federal 455(b) of the Higher Education Act of
areas and priority foreign languages; and Register. Free Internet access to the 1965, as amended (HEA) (20 U.S.C.
percentage of UISFL consortium official edition of the Federal Register 1087e(b)), provides formulas for
projects that established certificate and/ and the Code of Federal Regulations is determining the interest rates charged to
or undergraduate degree programs in available via the Federal Digital System borrowers for loans made under the
VerDate Sep<11>2014 20:48 Jun 10, 2016 Jkt 238001 PO 00000 Frm 00033 Fmt 4703 Sfmt 4703 E:\FR\FM\13JNN1.SGM 13JNN1](https://thefederalregister.org/doc/81_FR_38272/page/1.svg)
![38160 Federal Register / Vol. 81, No. 113 / Monday, June 13, 2016 / Notices
Direct Loan Program including: Federal a fixed interest rate that is calculated 2016, the United States Treasury
Direct Subsidized Stafford Loans (Direct based on the high yield of the 10-year Department held a 10-year Treasury
Subsidized Loans); Federal Direct Treasury notes auctioned at the final note auction that resulted in a high
Unsubsidized Stafford Loans (Direct auction held before June 1 of each year, yield of 1.710%.
Unsubsidized Loans); Federal Direct plus a statutory add-on percentage (a The following chart contains specific
PLUS Loans (Direct PLUS Loans); and ‘‘margin’’). Therefore, while the interest information on the calculation of the
Federal Direct Consolidation Loans rate determination for new loans will be interest rates for Direct Loans first
(Direct Consolidation Loans). different from year to year, each of these disbursed on or after July 1, 2016, but
Direct Subsidized Loans, Direct loans will have a fixed interest rate for before July 1, 2017. We publish a
Unsubsidized Loans, and Direct PLUS the life of the loan. In each case the separate notice containing the interest
Loans (collectively, Direct Loans) first calculated rate is capped by a maximum rates for Direct Loans that were made in
disbursed on or after July 1, 2013, have interest rate. On Wednesday, May 11, prior years.
FIXED-RATE DIRECT SUBSIDIZED LOANS, DIRECT UNSUBSIDIZED LOANS, AND DIRECT PLUS LOANS FIRST DISBURSED ON
OR AFTER 7/1/2016 BUT BEFORE 7/1/2017
Cohort Index rate
Margin Fixed rate Max. rate
Loan type Student grade level First First 10-Year (%) (%) (%)
disbursed on/ disbursed treasury note
after before (%)
Subsidized ........ Undergraduates ........ 7/1/2016 7/1/2017 1.710 2.05 3.76 8.25
Unsubsidized .... Undergraduates ........ 7/1/2016 7/1/2017 1.710 2.05 3.76 8.25
Unsubsidized .... Graduate and Profes- 7/1/2016 7/1/2017 1.710 3.60 5.31 9.50
sional Students.
PLUS ................ Parents of Dependent 7/1/2016 7/1/2017 1.710 4.60 6.31 10.50
Undergraduates.
PLUS ................ Graduate and Profes- 7/1/2016 7/1/2017 1.710 4.60 6.31 10.50
sional Students.
If an application for a Direct DEPARTMENT OF EDUCATION information or comments submitted by
Consolidation Loan is received by the postal mail or delivery should be
[Docket No.: ED–2016–ICCD–0067]
Department on or after July 1, 2013, the addressed to the Director of the
interest rate on that loan is the weighted Agency Information Collection Information Collection Clearance
average of the consolidated loans, Activities; Comment Request; Fund for Division, U.S. Department of Education,
rounded up to the nearest higher 1⁄8 of the Improvement of Postsecondary 400 Maryland Avenue SW., LBJ, Room
1 percent. These Direct Consolidation Education (FIPSE) Annual 2E–103, Washington, DC 20202–4537.
Loans do not have an interest rate cap. Performance Report FOR FURTHER INFORMATION CONTACT: For
Electronic Access to This Document:
AGENCY: Department of Education (ED), specific questions related to collection
The official version of this document is
Office of Postsecondary Education activities, please contact Stacey
the document published in the Federal
(OPE). Slijepcevic, 202–453–6150.
Register. Free Internet access to the
official edition of the Federal Register ACTION: Notice. SUPPLEMENTARY INFORMATION: The
and the Code of Federal Regulations is Department of Education (ED), in
available via the Federal Digital System SUMMARY: In accordance with the accordance with the Paperwork
at www.gpo.gov/fdsys. At this site you Paperwork Reduction Act of 1995 (44 Reduction Act of 1995 (PRA) (44 U.S.C.
can view this document, as well as all U.S.C. chapter 3501 et seq.), ED is 3506(c)(2)(A)), provides the general
other documents of this Department proposing a revision of an existing public and Federal agencies with an
published in the Federal Register, in information collection. opportunity to comment on proposed,
text or Adobe Portable Document DATES: Interested persons are invited to revised, and continuing collections of
Format (PDF). To use PDF you must submit comments on or before August information. This helps the Department
have Adobe Acrobat Reader, which is 12, 2016. assess the impact of its information
available free at the site. ADDRESSES: To access and review all the collection requirements and minimize
You may also access documents of the documents related to the information the public’s reporting burden. It also
Department published in the Federal collection listed in this notice, please helps the public understand the
Register by using the article search use http://www.regulations.gov by Department’s information collection
feature at www.federalregister.gov. searching the Docket ID number ED– requirements and provide the requested
Specifically, through the advanced 2016–ICCD–0067. Comments submitted data in the desired format. ED is
search feature at this site, you can limit in response to this notice should be soliciting comments on the proposed
your search to documents published by submitted electronically through the information collection request (ICR) that
the Department. Federal eRulemaking Portal at http:// is described below. The Department of
srobinson on DSK5SPTVN1PROD with NOTICES
Program Authority: 20 U.S.C. 1087, et seq. www.regulations.gov by selecting the Education is especially interested in
Docket ID number or via postal mail, public comment addressing the
Dated: June 8, 2016. commercial delivery, or hand delivery. following issues: (1) Is this collection
James W. Runcie, Please note that comments submitted by necessary to the proper functions of the
Chief Operating Officer, Federal Student Aid. fax or email and those submitted after Department; (2) will this information be
[FR Doc. 2016–13937 Filed 6–10–16; 8:45 am] the comment period will not be processed and used in a timely manner;
BILLING CODE 4000–01–P accepted. Written requests for (3) is the estimate of burden accurate;
VerDate Sep<11>2014 20:48 Jun 10, 2016 Jkt 238001 PO 00000 Frm 00034 Fmt 4703 Sfmt 4703 E:\FR\FM\13JNN1.SGM 13JNN1](https://thefederalregister.org/doc/81_FR_38272/page/2.svg)
Document Created: 2018-02-08 07:39:41
Document Modified: 2018-02-08 07:39:41
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Notices | |
| Action | Notice. | |
| Dates | This notice is effective June 13, 2016. | |
| Contact | Rene Tiongquico, U.S. Department of Education, 830 First Street NE., 11th Floor, Washington, DC 20202. Telephone: (202) 377-4270 or by email: [email protected] | |
| FR Citation | 81 FR 38159 |
2025 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR