How are the interest rates displayed on the University Loan Relief Home page calculated?
Consolidation Loan: • This rate assumes a client qualifies and obtains a University Loan ReliefT Financial Consolidation loan with the 0.25% discount for setting up auto-debit applied and with the 1.00% discount for 36 continuous, on-time payments applied (meaning actual rate as of the 37th month of repayment). • The formula to determine this rate is a weighted average of interest rates on the loans consolidated, rounded up to the nearest 1/8th of one percent or 8.25%, whichever is less. PLUS Loan: • Based on loans disbursed on or after 7/1/98. The formula to determine this rate is “Bond-equivalent rate for 91-day T-bill plus 3.1%, not to exceed 9%.”** Stafford Loan: • Based on loans disbursed on or after 7/1/98 whose borrowers are (A) in-school, (B) in grace, or (C) in deferment.** • The formula to determine this rate is Bond-equivalent rate for 91-day T-bill plus 1.7%, not to exceed 8.25%. ** University Loan Relief does not currently offer this loan product, so the rate is the market
