Boston, June 24, 2021 (GLOBE NEWSWIRE) – BOSTON – As federal college loan rates increase, the MEFA college loan amount will remain unchanged. The MEFA loan from the Massachusetts Treasury Department of Education will have the same low interest rates for the upcoming school year as last year, offering families across the country the opportunity to save thousands of dollars in student loans.
Interest rates on the MEFA loan will start at 3.75% for the 2021-22 academic year, significantly below the 6.28% offered under the Federal Direct PLUS loan. While the PLUS loan is charged a disbursement fee of 4.228%, there is no disbursement fee, no application fee, and no prepayment penalties in the MEFA loan. MEFA loans are available to eligible borrowers nationwide who can choose from several repayment options and take advantage of fixed interest rates that result in predictable and stable monthly payments over the life of the loan.
“The Commonwealth of Nations is committed to providing access to higher education so that students can receive quality and affordable higher education. MEFA’s innovative loan program helps them succeed by lowering college tuition fees through a consistent offer of low interest rates, ”said Gov. Charlie Baker. “With programs focused on planning, saving and paying for college, MEFA is a valuable resource for families looking to graduate as well as for Massachusetts colleges and universities that attract students from across the country.”
Interest rates on the MEFA loan for the coming academic year will range from 3.75% to 5.75%. The loan rate will depend on many factors, including the selected repayment option and the borrower’s credit profile. The annual interest rate or annual interest rate will be between 3.75% and 5.75%. The annual interest rate helps consumers understand the relative cost of a loan and reflects the interest rate, payment terms and fees.
“At MEFA, we work hard to keep interest rates down and we strive to serve families and students planning for the future. An MEFA loan can be part of making your college dream come true. As students and parents explore options for choosing the right loan program for their families, MEFA will be there as a competitive option, ”said Thomas Graf, Executive Director of MEFA.
Since 1982, MEFA has been offering low-cost, fixed-rate loans to help families across the country fund college expenses for students enrolled in accredited colleges or degree-awarding universities. The organization also provides expert college planning advice with free webinars, educational emails, and popular podcast series designed to help families through their busy college planning years.
The MEFA is a state not-for-profit body, independent of state or federal funds, and is established under Chapter 15C of the General Laws of Massachusetts. MEFA’s mission since its founding in 1982 has been to help Massachusetts students and families access and afford a college education and achieve financial goals through educational programs, tax-free savings plans, low-cost loans, and expert advice. All of MEFA’s work is in line with an unchanging goal of supporting the independence, growth, and success of Massachusetts students and families. Visit mefa.org to find out more or follow MEFA on Twitter @mefatweets and on Facebook at mephaMA…