What is the interest rate on a Direct Consolidation Loan?
The interest rate for Direct Subsidized and Unsubsidized Consolidation Loans is a fixed rate derived from the weighted average of the interest rates of the loans being consolidated. The interest rates for Subsidized and Unsubsidized Consolidation Loans cannot exceed 8.25%. The interest rate for a Direct PLUS Consolidation Loan cannot exceed 9%.
