; or (ii) during the period in which principal need not be paid (whether or not such principal is in fact paid) by reason of a provision described in subsection (f), shall be determined under subparagraph (A) by substituting 0.49 percent for 1.09 percent . (C) Rates for graduate and professional fdusl Notwithstanding the preceding paragraphs of this subsection, for Federal Direct Unsubsidized Stafford Loans issued to graduate or professional students, for which the first disbursement is made on or after July 1, 2017, the applicable rate of interest shall, during any 12-month period beginning on July 1 and ending on June 30, be determined under subparagraph (A)— (i) by substituting 1.86 percent for 1.09 percent ; and (ii) by substituting 8.25 percent for 5 percent . (D) In school and grace period rules for graduate and professional students Notwithstanding the preceding paragraphs of this subsection, with respect to any Federal Direct Unsubsidized Stafford Loan issued to a graduate student or professional student for which the first disbursement is made on or after July 1, 2017, the applicable rate of interest for interest which accrues— (i) prior to the beginning of the repayment period of the loan; or (ii) during the period in which principal need not be paid (whether or not such principal is in fact paid) by reason of a provision described in subsection (f), shall be determined under subparagraph (A) by substituting 1.26 percent for 1.09 percent . (E) Plus loans Notwithstanding the preceding paragraphs of this subsection, with respect to Federal Direct PLUS Loan for which the first disbursement is made on or after July 1, 2017, the applicable rate of interest shall be determined under subparagraph (A)— (i) by substituting 2.36 percent for 1.09 percent