Personal Finance Student Loan Study guide
17. Typically, when should you first file the FAFSA?
October or November of your last year of high school
24. You will find each of the following pieces of information on your FAFSA Submission Summary EXCEPT...
a record of all scholarships you have applied for
18. Your school counselor is a great resource for all of the following EXCEPT...
Negotiating lower interest rates with your lenders
Grants/Scholarships, Work-study, Federal loans, Private loans
3. Which of these options lists the types of financial aid from MOST attractive to LEAST attractive?
1. Which of the following statements is TRUE about the value of a college degree?
A college graduate can expect to earn, on average, more than a high school graduate over a career
23. As you make decisions during college, you should focus on...
Balancing your academic, social, and financial decisions to make the most out of the entire experience while setting yourself up for success post-college
Which repayment option does not accrue interest while your required payments are paused?
Deferment
21. Each of the following organizations offers grants to college students EXCEPT...
FAFSA
4. In order to qualify for financial aid, which application must you submit?
FAFSA
2. During a period of financial hardship, you can apply for this to pause student loan payments while interest still accrues...
Forbearance
9. What types of money are used in paying for college and in what order should you use them?
Free money, your money, borrowed money
14. Which of the following ways to pay for college is MOST likely to be based on someone's financial need?
Grants
10. Although it's not a type of financial aid, how can transferring credits from a community college help save you money on college costs?
It reduces amount of credits you'll have to pay for at your 4-year college
11. Janelle's family earns about $60,000 per year. She has been accepted to College A and College B and is comparing their financial aid packages. College A has a sticker price of $28,000 and net price of $12,000. College B has a sticker price of $60,000 and net price of $9,000. Which statement below is FALSE?
It will cost less to attend College A
20. Keith's tuition, room & board, and fees for freshman year total $26,000. Including scholarships, grants, and federal student loans, his financial aid package is $25,500. Which option below is both realistic and the most financially responsible?
Keith should pick up a part-time job to cover his remaining costs and personal expenses
12. Which of the following is a good strategy to use when it comes to paying for college?
Save your earnings from your summer job so that you can reduce the amount of loans you need to take
22. Which of the following is the default federal student loan repayment plan college graduates are entered into, requires the same minimum payment for the life of the loan, and ensures the borrower will pay the loan in full in ten years?
Standard repayment plan
5. Which of the formulas below correctly calculates net price?
Sticker price - grants and scholarships = net price
6. The federal government makes interest payments on __________ while you're enrolled in school at least half-time, for the first six months after you leave school, and during any period of deferment.
Subsidized federal loans
19. Which of the following is TRUE about the Student Aid Index (SAI)?
The LOWER your SAI the MORE financial aid you are eligible for
8. Who receives and uses the information submitted in your FAFSA?
The schools you've applied to and your state government to determine your eligibility for financial aid
25. Which of the following is a benefit of an income-driven repayment plan?
Theoretically, your payment should never be more than you can afford
7. Which of the following is considered a direct cost of attendance?
Tuition
13. Who is eligible to receive Direct Subsidized loans?
Undergraduate students
16. How much does it cost to file the FAFSA?
its free