Interest Rate, APR, and Fees
The PSEP has a fixed interest rate of 6.0% (5.85% APR) in-school and in repayment. A "fixed" rate means the base interest rate will not change; however, it may be reduced by Borrower Benefits while in repayment.
What is APR?
APR stands for the Annual Percentage Rate and is the yearly cost of borrowing your loan, shown as a percent of the amount you borrowed. The APR referenced above assumes a 4-year student, principal loan amount of $10,000, no origination fee, and a repayment term of 15 years. The interest rate and APR do not factor in any reductions due to borrower benefits.
Fees
There are no origination or prepayment fees on the PSEP loan.