Understanding Student Loans Quiz
Test your knowledge on federal and private student loans, repayment options, forgiveness programs, and loan management.
#1
Which federal agency is responsible for overseeing student loans?
Department of Education
Federal Reserve
Internal Revenue Service
Department of Treasury
#2
What is the grace period for federal student loans after graduation?
6 months
1 year
2 years
No grace period
#3
What is the interest rate on federal subsidized student loans?
0% (No interest)
Fixed rate determined by Congress
Variable rate based on market conditions
5% fixed rate
#4
What is the FAFSA used for in the context of student loans?
Calculating income tax
Determining eligibility for financial aid
Assessing credit score
Evaluating academic performance
#5
Which type of student loan allows for interest to accumulate and be added to the principal amount?
Subsidized federal loans
Unsubsidized federal loans
Private student loans
Parent PLUS loans
#6
What is the maximum annual limit for federal subsidized loans for an undergraduate student?
$5,500
$7,500
$10,000
$12,500
#7
What is the process of combining multiple federal student loans into a single loan with a single monthly payment called?
Loan consolidation
Debt consolidation
Loan refinancing
Consolidation merger
#8
What is the key difference between subsidized and unsubsidized federal student loans?
Interest accrues during school and grace periods for subsidized loans
Unsubsidized loans have a higher interest rate
Only graduate students are eligible for subsidized loans
Subsidized loans are need-based, while unsubsidized loans are not
#9
Which repayment plan offers loan forgiveness after 20 years of qualifying payments?
Standard Repayment Plan
Income-Based Repayment (IBR) Plan
Pay As You Earn (PAYE) Plan
Revised Pay As You Earn (REPAYE) Plan
#10
What is the aggregate loan limit for subsidized and unsubsidized federal loans for undergraduate students?
$31,000
$57,500
$23,000
$12,000
#11
Which federal student loan forgiveness program is specifically designed for public service workers?
Teacher Loan Forgiveness
Public Service Loan Forgiveness (PSLF)
Income-Driven Repayment (IDR) Forgiveness
Perkins Loan Cancellation
#12
What is the minimum credit score required for most private student loans?
Sign In to view more questions.
Quiz Questions with Answers
Forget wasting time on incorrect answers. We deliver the straight-up correct options, along with clear explanations that solidify your understanding.
Popular Quizzes in Finance
Report