What's a good student loan interest rate? These lenders offer some of the lowest APRs

When you take out a student loan, you'll repay more than just the amount you borrowed. You'll also pay interest, which is the cost of borrowing the money. So what counts as a "good" student loan interest rate? In general, the lower the rate, the less you'll pay over the life of the loan. A higher rate typically means higher monthly payments and more interest costs over time. While you'll want to lock in the lowest rate possible, how much control you have depends on the type of loan you choose. Federal student loan rates are set by the government, while private loan rates vary based on factors like your credit profile, income and whether you apply with a co-signer. What's a good rate on a student loan? Federal student loan interest rates Federal student loan interest rates are set by the federal government each spring and are tied to the yield on the 10-year Treasury note. Those rates take effect on July 1 and remain in place for the entire academic year (through June of the following year). With federal student loans, a "good" interest rate isn't about qualifying for a lower rate. Every borrower receives the same rate for a given loan type and academic year. The current federal student loan interest rates are here: Federal loan type Interest rate for 2026 to 2027 academic year Undergraduate (Subsidized and Unsubsidized) 6.52% Graduate and Professional (Unsubsidized) 8.07% PLUS Loans (Parent) 9.07% Federal loans come with either fixed or subsidized interest terms. …