The interest rates for federal student loans will be raised 1.84 percent this summer, following the results of a Department of Treasury auction held May 30. The rates are currently at 5.3 percent, but will be increased to 7.14 percent on July 1. While the change will affect current borrowers, Congress has approved other changes that mean students taking out new loans after July 1 won't be affected by the rising interest rate. New loans after July 1 are to be issued at a fixed rate of 6.8 percent.