βItβs extremely unlikely that interest rates will ever get lower,β he said. With interest rates starting to rise again, the next adjustment in 2010 is likely to carry a higher rate.
Here is a look at other financial aid changes taking place next month:
- Pell Grants: The maximum grant for needy students will increase from $4,731 to $5,350 β a jump of more than $500. Legislation approved by Congress also will allow for year-round grants to students seeking to accelerate their education. The minimum Pell Grant will increase from $400 to an annual rate equal to 10 percent of the maximum grant.
- New student loans: New fixed-rate Stafford Loans will see their interest rate drop from 6 percent to 5.6 percent. Origination fees on Stafford Loans also will drop by half-a-percentage point.
- Part-time students: Students enrolled at least half time will get access to the Academic Competitiveness and SMART Grant programs, which provide additional aid to Pell-eligible students who have completed a rigorous high school program.
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