Federal Student Aid PIN Replaced
As of May 10, 2015, the Federal Student Aid PIN was replaced with a username and password. The PIN was your electronic signature when completing the FAFSA or Direct Loan Promissory notes. If you haven’t logged into a Federal Student Aid site since May 10, you will need to create an FSA ID before you can do so. If you already have a PIN, you will be prompted to create a new username and password when you attempt to login on any of the following U.S. Department of Education websites: fafsa.gov, nslds.ed.gov, studentaid.gov, studentloans.gov, and teach-ats.ed.gov.
Direct Loan Origination Fees Adjusted by Sequestration
As a result of the ongoing Sequestration, loan origination fees on the Federal Direct Student and Parent Loan programs will see a slight decrease to its origination fees, beginning with loans disbursed on or after September 30, 2015. Origination fees are deducted from the loan prior to disbursement. The current Direct loan origination fee is 1.073%, and 4.292% on PLUS loans. 2015-16 Direct Loans not disbursed prior to September 30, 2015 will have origination fees of 1.068% and 4.272% on PLUS loans deducted.
Direct Loan Interest rates for 2015-16
With the signing of The Bipartisan Student Loan Certainty Act of 2013, the annual interest rates on the Federal Direct Loan programs were tied to the 10 year Treasury Bill rate and re-set each July 1. The interest rate for undergraduate students for the 2015-16 academic year was reduced from 4.66% to 4.29% for both the subsidized and unsubsidized Loans, while interest on the Unsubsidized Direct Loan for graduate students went from 6.21% to 5.84%. The Federal Direct PLUS Loan for both parents and graduate/professional students also saw an interest rate reduction from 7.21% to 6.84%.