Borrowers with loans made prior to July 1, 2006, will have a variable rate adjusted annually (July 1). The interest rate will not exceed 8.25%. Borrowers with loans guaranteed after July 1, 2006, will have a fixed rate interest, please see the chart for interest information on the Loan Information Page. Subsidized loans are need-based aid and interest does not accrue while you are in school. Unsubsidized loans are not need-based and the interest will accrue on a quarterly basis. You will receive a quarterly interest statement from the Loan Servicing Center. You may pay the interest if you choose but, you are not required to do so. The 2019-20 interest rate is 4.53%.