Student loans may double in interest

Although student loan interests may double in interest by July 1, the director of financial aid said students should not be that concerned.

This year, all subsidized federal student loans that were taken out received a fixed interest rate of 3.4 percent.

Subsidized loans don’t accrue interest while the student is taking at least six credit hours; unsubsidized loans do accrue interest. However, this was only for a year and if Congress does not take action before the first of July, the interest rate will jump to 6.8 percent for all new loans taken out in the fiscal year of 2012-2013.

Ted Malone, director of financial aid, said this is not something to get too worked up about, however.
 

You can read the rest of this story at the Purdue Exponent website .