The U.S. Department of Education, under Section 438 of the Higher Education Act, is mandated to calculate and publish quarterly special allowance rates for the Federal Family Education Loan (FFEL) Program. Today, the Department announced that for the quarter ending March 31, 2025, the following average rates were established:
Treasury Bill Rate
- Based on: Average bond equivalent rates of 13-week Treasury bills.
- Source: U.S. Department of the Treasury.
- Rate for Q1 2025: 4.31%
Commercial Paper Rate
- Based on: Average bond equivalent rates of 3-month commercial paper financial quotes.
- Source: Federal Reserve’s Publication H-15.
- Rate for Q1 2025: 4.43%
SOFR (Secured Overnight Financing Rate)
- Based on: 30-day SOFR, adjusted daily with the Tenor Spread Adjustment.
- Source: Federal Reserve Bank of New York.
- Rate for Q1 2025: 4.55%
Detailed Attachment:
SOURCE: Federal Family Education Loan Program Special Allowance Rates for the Quarter Ending March 31, 2025