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Paying for College

Total questions: 25

Worksheet time: 13mins

Name
Class
Date
1.

In order to qualify for financial aid, which application must you submit?

a)

FAFSA

b)

SAVE

2.

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.

a)

Subsidized federal loans

b)

Unsubsidized federal loans

3.

During a period of financial hardship, you can apply for this to pause student loan payments while interest still accrues...

a)

Grace period

b)

Forbearance

4.

What types of money are used in paying for college and in what order should you use them?

a)

Your money, free money, borrowed money

b)

Free money, your money, borrowed money

5.

Which of the following is considered a direct cost of attendance?

a)

Tuition

b)

Food and entertainment

6.

Who receives and uses the information submitted in your FAFSA?

a)

The federal government for tax purposes

b)

The schools you’ve applied to and your state government to determine your eligibility for financial aid

7.

Although it's not a type of financial aid, how can transferring credits from a community college help save you money on college costs?

a)

It reduces the amount of credits you'll have to pay for at your 4-year college

b)

Eligible for lower interest rates when taking out federal student loans

8.

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?

a)

It will cost less to attend College A

b)

It will cost less to attend College B

9.

Which of these options lists the types of financial aid from MOST attractive to LEAST attractive?

a)

Grants/Scholarships, Work-study, Federal loans, Private loans

b)

Federal loans, Grants/Scholarships, Work-study, Private loans

10.

Which of the formulas below correctly calculates net price?

a)

Sticker price - student loans = net price

b)

Sticker price - grants and scholarships = net price

11.

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?

a)

Pick up a part-time job to cover his remaining costs and personal expenses

b)

Keith should not attend this college because he cannot afford it

12.

Which of the following ways to pay for college is MOST likely to be based on someone's financial need?

a)

Direct PLUS Loans

b)

Grants

13.

Which repayment option does not accrue interest while your required payments are paused?

a)

Deferment

b)

Forbearance

14.

How much does it cost to file the FAFSA?

a)

It is free

b)

It is free the first time you file, but costs $9.99/year thereafter

15.

Typically, when should you first file the FAFSA?

a)

After you finish freshman year of high school

b)

October or November of your last year of high school

16.

Which of the following is a good strategy to use when it comes to paying for college?

a)

See how much you can borrow in loans before applying for scholarships

b)

Save your earnings so that you can reduce the amount of loans you need to take

17.

Your school counselor is a great resource for all of the following EXCEPT...

a)

Providing information about scholarships and grants you wouldn't be able to find elsewhere

b)

Negotiating lower interest rates with your lenders

18.

Who is eligible to receive Direct Subsidized loans?

a)

Undergraduate students

b)

Students enrolled less than half-time

19.

Which of the following is TRUE about the Student Aid Index (SAI)?

a)

The LOWER your SAI the MORE financial aid you are eligible for

b)

The HIGHER your SAI the MORE financial aid you are eligible for

20.

Each of the following organizations offers grants to college students EXCEPT...

a)

the federal government

b)

FAFSA

21.

You will find each of the following pieces of information on your FAFSA Submission Summary EXCEPT...

a)

your Student Aid Index (SAI)

b)

a record of all scholarships you have applied for

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?

a)

Standard repayment plan

b)

Extended repayment plan

23.

As you make decisions during college, you should focus on...

a)

Having fun, because you’re only in college once

b)

Setting yourself up for success post-college

24.

Which of the following statements is TRUE about the value of a college degree?

a)

A high school graduate can expect to earn about the same as a college graduate

b)

A college graduate can expect to earn, on average, more than a high school graduate over a career

25.

Which of the following is a benefit of an income-driven repayment plan?

a)

Theoretically, your payment should never be more than you can afford

b)

They’re structured to be paid off in 5-10 years