You are using an outdated and unsupported browser. Please upgrade your browser to improve your experience.
Skip to Header Navigation Skip to Main Navigation Skip to Main Content Skip to Footer

Special Allowance Rates

Special Allowance Rates for Stafford and PLUS loans for the Quarter ending March 31, 2008

The applicable Special Allowance Rates for Consolidation loans and for loans made or purchased with tax-exempt funds are available at ifap.ed.gov.

The Treasury Bill (T-bill) rate for the quarter ending March 31, 2008 averaged 2.1%. None of the categories in the following chart, for loans made or purchased with taxable funds, will receive Special Allowance payments:

Loan Interest Rate Special Allowance Annual Rate Special Allowance Quarterly Rate LaRS (Lender Reporting System) Part III: Special Allowance Category Column E*
7.00% .00% .00% SA
7.00%
8.00%
.00%
.00%
.00%
.00%
SB
7.00%
8.00%
8.02%
8.17%
.00%
.00%
.00%
.00%
.00%
.00%
.00%
.00%
SD
7.00%
8.00%
.00%
.00%
.00%
.00%
SE
8.02%
8.05%
.00%
.00%
.00%
.00%
SG
7.42% .00% .00% SH
6.62% .00% .00% SJ
7.22% .00% .00% SK

The Commercial Paper Rate for the same quarter averaged 3.24%.

Although the loans in categories CA, CB, and CD, in the following chart, will not receive special allowance payments, the loans included in categories CE, CF, CH, CI, CJ, and CM are subject to the recapture of excess interest at the rate shown.

Loan Interest Rate Special Allowance Annual Rate Special Allowance Quarterly Rate LaRS (Lender Reporting System) Part III: Special Allowance Category Column E*
6.62% .00% .00% CA
7.22% .00% .00% CB
8.02%(PLUS) .00% .00% CD
6.62%
6.80%
(1.64%)
(1.82%)
(.4100%)
(.4550%)
CE
6.80%
7.22%
(1.22%)
(1.64%)
(.3050%)
(.4100%)
CF
8.02%(PLUS)
8.50%(PLUS)
(2.14%)
(2.62%)
(.5350%)
(.6550%)
CH
6.80% (2.37%) (.5925%) CI
6.80% (1.77%) (.4425%) CJ
8.50%(PLUS) (3.47%) (.8675%) CM

* For a detailed explanation of the Special Allowance codes, please view the Common Manual. The Special Allowance codes are located in Appendix A, figure A-5.

For entities approved as not-for-profit holders, Special Allowance payments will be based on another code that ED sets in their respective demographic profiles. Please see the March/April 2008 Issue of Loan Notes for more information.