For loans disbursed between July 1, 2025, and June 30, 2026, undergraduate rates will be set at 6.39 percent, a decline from last year's 6.53 percent.

The education portion of the Republicans' proposed federal budget would replace all income-driven repayment plans and decrease the amount of financial aid students can receive.

Hits to millions of Americans’ credit scores comes after the Department of Education announced last month it would send borrowers to collection agencies for falling behind on payments after