Autopay boosts student-loan discounts to 1%, expanding borrower savings
The Education Department announced that borrowers who enroll in autopay will receive a 1-percentage-point discount on their loan’s interest rate, up from the usual 0.25 points, with the discount taking effect July 1 and running through June 30, 2028. The policy could save borrowers hundreds to thousands over the life of their loans and is estimated to cost about $6 billion. The package also introduces new repayment options, including an income-driven plan, as part a broader set of student-loan affordability changes.