Feds raise rates on student loans

CHARLOTTE, N.C. — The federal government raised the student loan interest rate again from 4.45 percent to 5.05 percent, and experts say it hasn't been this high since 2010.

Action 9 used a student loan calculator.

For a $30,000 loan, that is about $9 per month higher for 10 years.

"Don't break the bank," college counselor Michael Trivette said. "Don't necessarily break the bank for undergrads because you may have ambitions of going back to school at some point."

Jessica Burke remembers her student loans and interest rates.

"A lot of my paycheck went to it," she said.

She just finished paying off her loans, and it took about a decade.

Consumer Reports said if you have to borrow money, federal loans are recommended. It also said to be more careful with your overall budget, make sure more than 15 percent of your gross income doesn't go to school.

Private loans may be an option, but they usually have fewer consumer protections and increase, while federal loans don't.

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