Hello, what's the loan interest rate for retired teachers? The loan interest rate for retired teachers is 4.90%. Retired teachers have special benefits of teachers' provident fund loan interest rate. Short-term loans range from 4.35% for six months to 4.35% for one to three years, 4.75% for three to five years, 4.75% for more than five years, and 4.90% for medium and long-term loans. So the loan interest rate for retired teachers is 4.90%.