Student Loan Autopay Interest Discount Triples Under New Law
Federal student loan borrowers enrolled in autopay saw their interest rate reduction triple from 0.25% to 1.00% under the One Big Beautiful Bill Act, effective July 1. The Department of Education’s Federal Student Aid office announced the change, which represents one of the largest expansions of federal student loan borrower incentives in recent years. Borrowers must be enrolled in automatic payment, where monthly payments are deducted directly from a bank account, to receive the reduced interest rate on their federal student loans, according to Federal Student Aid. Tens of millions of Americans hold federal student loan debt totaling more than