Government Backed
Federal Direct Unsubsidized (Grad) — Federal Grad Review
Federal Direct Unsubsidized (Grad) offers federal grads at 7.94% APR (fixed) as of June 2026.
APR
7.94%
APR range
7.94%
Rate type
fixed
Category
Federal Grad
Origination fee
1.06%
Overview
Federal Direct Unsubsidized (Grad)'s federal grad is currently priced at 7.94% APR. 2025-26 rate for graduate/professional students..
Federal student loan rates are set annually by formula (10-year Treasury auction + a statutory margin). They cannot be negotiated. Federal loans include borrower protections — income-driven repayment, deferment, PSLF — that private loans don't offer.
Compare Federal Direct Unsubsidized (Grad) against the alternates below for June 2026.
Pros
- +7.94% APR is competitive for federal grads
- +Federal borrower protections (IDR, PSLF, deferment)
- +Transparent fee disclosure
Cons
- −Cannot be negotiated — rate is set by formula
- −Best rates require excellent credit and income
- −1.06% origination fee
How it compares
How we review
We review student loans using verified rate data and lender disclosures. Rankings prioritize rate, fees, terms, and institutional safety — not affiliate payout. Read the full methodology.