Applicable rates of interest for loans made on or after July 1, 2026

Section 455(b)(8) of the Higher Education Act of 1965 (20 U.S.C. 1087e(b)(8)) is amended— (1) in the paragraph heading, by inserting and before July 1, 2026 after July 1, 2013; (2) in subparagraph (A), by inserting and before July 1, 2026 after July 1, 2013; (3) in subparagraph (B), by inserting and before July 1, 2026 after July 1, 2013; (4) in subparagraph (C), by inserting and before July 1, 2026 after July 1, 2013; (5) in subparagraph (D), by inserting and before July 1, 2026 after July 1, 2013; (6) by redesignating subparagraph (F) as subparagraph (G); and (7) by inserting after subparagraph (E) the following: (F) New loans on or after July 1, 2026 Notwithstanding the preceding subparagraphs of this paragraph, for Federal Direct Unsubsidized Stafford Loans, Federal Direct PLUS Loans, and Federal Direct Consolidation Loans for which the first disbursement is made, or the application is received, on or after July 1, 2026, the applicable rate of interest shall be 0 percent on the unpaid principal balance of the loan..