Pathways: Financing Higher Education Understanding Financial Aid

When paying for higher education, scholarships and grants can be considered _____.

• free money

• loans

• investments

• taxes

The biggest difference between scholarships and loans is that scholarships are considered _____ but loans must be paid back.

• free money

• a financial burden

• a loan

• a debt

Which of the following are considered "free money" when it comes to financing higher education?

• Military programs

• Scholarships and grants

• Loans

• Work-study programs

When paying for higher education, money that you borrow and must pay back later comes from _____.

• scholarships

• grants

• work-study programs

• loans

Loans are different from scholarships and grants since ____.

• loans must be paid back

• loans don't earn interest

• loans don't need to be paid back

• loans are free money

Which method of funding higher education accrues interest until it is paid back?

• Grants

• Scholarships

• Loans

• Work-study programs

Which of the following should you consider first when trying to pay for higher education?

• Loans

• Work-study programs

• Scholarships and grants

• Military programs

Why is it important to consider loans last when paying for higher education?

• Scholarships and grants need to be paid back but loans are free money.

• Loans need to be paid back but scholarships and grants are free money.

• Loans give better interest rates when you apply later.

• Scholarships and grants give better interest rates when you apply for them early.

Why is it important to consider scholarships and grants before loans to pay for higher education?

• Scholarships and grants are free money that do not need to be paid back.

• Loans are free money that do not need to be paid back.

• Loans give better interest rates when you apply early.

• Scholarships and grants give better interest rates when you apply early.

What do you need to submit in order to access need-based federal aid and federal loans?

• Credit report application

• The financial aid application at your institute of higher education

• The FAFSA

• Financial aid application at your high school