College students and parents are scrambling to refinance.
Interest on federal student loans are due to rise by almost two percentage points Saturday. The federal government adjusts interest rates on these loans each July.
Advisers say not refinancing could cost thousands of additional dollars in interest in the decades after a student enters the work force.
Right now, the rates are four-point-seven percent for students and five-point-three percent for graduates.
On Saturday, the rates will shoot up to six-point-54 percent for students and seven-point-14 percent for graduates.
Students and parents can lock in rates near the current levels by refinancing before Saturday.