ECONOMICS
MONEY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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the government; parents
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the borrower; parents
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the borrower; the government
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the government; the borrower
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Detailed explanation-1: -Subsidized Loans do not accrue interest while you are in school at least half-time or during deferment periods. Unsubsidized Loans are loans for both undergraduate and graduate students that are not based on financial need.
Detailed explanation-2: -If you got your Direct Subsidized or Unsubsidized Loan on or after July 1, 2022, and before July 1, 2023, it will have a fixed interest rate after the payment pause ends: For undergraduate students, the interest rate for Direct Subsidized Loans and Direct Unsubsidized Loans is 4.99%.
Detailed explanation-3: -Will my student loans be forgiven? All federally owned student loans are eligible for forgiveness. If you have Direct Subsidized Loans, Direct Unsubsidized Loans, Direct PLUS Loans, Direct Consolidation Loans or FFEL Loans owned by the U.S. Department of Education, they’re all included in the forgiveness plan.
Detailed explanation-4: -A Federal Direct Unsubsidized Loan is a non-need based, low-interest loan with flexible repayment options. It is available to both undergraduate and graduate students.
Detailed explanation-5: -This means that subsidized loans, unsubsidized loans, parent PLUS loans, and graduate PLUS loans held by ED are eligible. Consolidation loans are also eligible for relief, as long as all of the underlying loans that were consolidated were ED-held loans and were disbursed on or before June 30, 2022.