repaying loans responsibly

Which is an example of an extended repayment plan for student loans?

Payments that are low and can last up to 25 years

High student loan payments can impact all of the following life decisions except _____.

being able to afford food

If Gabi wants to pay off her student loan by starting with a low amount and then increasing it every two years, what type of repayment plan is best for her?

graduated repayment plan

Taking care of your _____ first is a good budgeting strategy that includes covering your loan payments.

needs

When using the 50-30-20 rule to budget, what category are loan payments in?

needs

One consequence for defaulting on a student loan is loan acceleration. What does this mean?

you owe the amount of your loan and interest immediately

Which of the following is not a good reasons to refinance a student loan?

you want to move to a new home

Which of the following is not true if you default on a student loan?

you will have your degree taken away

Which of the following is not true if you default on a student loan?

you will.not be allowed to open any bank accounts or makes investments

Which of the following is an example of how high student loan debt can impact a person's life decisions?

a person chooses to rent instead of buying a home

Which of the following is an example of how high student loan debt can impact a person's life decisions?

a person may choose to used public transportation instead of buying a car since they can't afford a down payment

What is a loan forgiveness program?

a program that reduces or wipe away the amount of loan if you are eligible

Opportunities to reduce or wipe away part of a loan amount based on your public service or by being a teacher in a low-income public school are called_____.

forgiveness program

In order to qualify to refinance a student loan, you will need _____.

a good credit score....

When creating a budget to repay your student loans, what do you need to pay in order to fully pay it off?

paying only the interest lengthens the life of the loan and increases the the total amount you pay in the longterm.

If Emmett wants to pay off his student loan by making monthly payments for 10 years, what type of repayment plan is best for him?

standard repayment plan

What are two ways that can help you keep a budget while trying to reduce debt load from loans?

tracking expenses...

True or false? When creating a budget to repay your student loans, you can save money by paying only the interest.

true because paying only the interest reduce the length of the loan and reduces the title amount you pay in the longterm

What happens when you refinance a student loan?

you choose a new interest rate ... a lender pays off your existing loan and offers a new loan with a different interest rate, payment schedule and terms.

One consequence for defaulting on a loan is having your transcript withheld. How could this affect you as you graduate?

you may not get a job that required a transcript

if Alejandro wants to pay off his student loan by basing it on how much he is earning at his job after graduation, what type of repayment plan is best for him?

income driven repayment plane

When creating a budget to repay your student loans, you should plan to pay back _____.

intrest and principale

How could defaulting on a loan or having a high debt-to-income ratio impact your future opportunities?

ir can lower your credit score and make it difficult to borrow money for big purchase like a house or car

Having a high debt-to-income ratio or defaulting on your loan can bring down your credit score. How can a low credit score on your credit report affect you?

it makes it much harder to borrow money in the future

Which is an example of a graduated repayment plan for student loans?

lower and increase every 2 years

Having a high debt-to-income ratio or defaulting on your loan can bring down your credit score. A low credit score on your credit report can _____.

make it much harder to barrow money in the future

One consequence for defaulting on a loan is to have your wages garnished. What does this mean?

money is taken ....