[ctcLinkfinaidsupport] 2025-2026 EY (Even Year) Loan Debt Letter Templates UPDATED

[Britney Corbitt]

Good afternoon, FA community!
We've updated all EY Loan Debt Letters to reflect the interest rate increase announced in the Electronic Announcement dated May 14, 2024.
Federal Student Loan Interest Rates for 2025-26 Award Year Set to Slightly Decrease<https://fsapartners.ed.gov/knowledge-center/library/electronic-announcements/2025-05-30/interest-rates-direct-loans-first-disbursed-between-july-1-2025-and-june-30-2026>
Interest rates are determined each June 1 for the upcoming award year by adding a fixed percentage to the high yield of the 10-year Treasury note auctioned at the final auction prior to June 1. As a result of the May 6 auction<https://nasfaa.informz.net/z/cjUucD9taT0xMTk5Njc4NCZwPTEmdT0xMTgxODgyNjk1JmxpPTExNjA0NTg3Mg/index.html>, the interest rate for federal loans first disbursed on or after July 1, 2025 are expected to slightly decrease from 6.53% to 6.39% for undergraduate Direct Loans, from 8.08% to 7.94% for graduate/professional Direct Unsubsidized Loans, and 9.08% to 8.94% for Parent and Grad PLUS loans. The interest rate caps for these loans are 8.25%, 9.5 %, and 10.5%, respectively. Federal Student Aid (FSA) released a chart<https://nasfaa.informz.net/z/cjUucD9taT0xMTk5Njc4NCZwPTEmdT0xMTgxODgyNjk1JmxpPTExNjA0NTg3Mw/index.html> explaining the changes.
IMPORTANT Go to your EY Run Control ID to confirm that the new interest rate displays on the EY letter option. If you see an old interest rate, you may need to jiggle your EY Run Control.
Please take the following steps to jiggle your EY Loan Debt Letter Run Control ID.
1.       Navigate to Navigator > HighPoint > Message Center > Processes > Send Messages
2.       Select your EY Loan Debt Letter Run Control ID
3.       Select the blank option on the Letter dropdown menu
[Screenshot of the Loan Debt Letter run control with arrow pointing to Letter Field]
 2.       Re-select the Loan Debt Letter EY, confirm the text now says, “6.39%” then select Save.
[cid:dc913bca-20d2-471f-a5d7-c3db8a4cdeef]
 For more information on the Loan Debt Letter, please look at the Loan Debt Letter section in the Loan Processing Guide (Loan Processing Business Process Guide | 9.2 FA - Financial Aid Business Process Guides | ctcLink Reference Center<https://ctclinkreferencecenter.ctclink.us/m/92436/l/798572-loan-processing-business-process-guide>)
Thank you!

[Compass]


Britney Corbitt

Functional Analyst, Campus Solutions (Financial Aid)

Washington State Board for Community and Technical Colleges

bcorbitt at sbctc.edu<mailto:bcorbitt at sbctc.edu> • o: 360-704-1841

sbctc.edu<https://www.sbctc.edu/> • Twitter: @SBCTCWashington<https://twitter.com/SBCTCWashington> • Facebook: @WASBCTC<https://www.facebook.com/wasbctc/>



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