Loans

The bank will take possession of your car if you .... your car loan.

• pay off

• default on

• endorse

• compute

The amount of money that the lender lends to the borrower is called ....

• principal

• tenure

• default

• collateral

Loans for buying cars are called ....

• commercial loans

• personal loans

• auto loans

• loan application

Those with a college degree, on average, earn thousands of more dollars/year when compared to those with just a HS dipolma

• True
• False

What does it mean when a student loan is "forgiven"?

• You get a letter of apology from the government
• You don't have to keep going to classes to get your degree
• You don't get as much money as your were previosuly promised
• You don't have to pay back the remainder of your loan debt

A majority of students receive student loans/aid to help pay for college

• True
• False

Scholarships and _______________ are both types of gift aid that do not have to be re-paid.

• grants
• federal work study
• scholarships
• alternative loans

Stafford loans, Perkins loans, and Plus loans are all __________________ from the government.

• alternative loans
• federal loans
• scholarships
• grants

An APR of 25.99% in decimal form is....

• .02599

• .2599

• 2.599

• 25.99

The longer the loan term the less total interest you pay.

• False

• True