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1.
When consolidating your student loans into one loan, the one loan will usually give you a _______ time to repay the loan.
Longer. This longer time period also results in lower monthly payments, but usually more interest paid overall.
2.
As a general rule, debts that are forgiven must be counted as income on a borrower's tax forms, meaning the borrower must pay taxes on them. For a student loan forgiven through the Public Service Loan Forgiveness program, how much of the loan will be counted as income by the IRS?
None. This is an exception to the rule. Debts forgiven by PSLF are not considered income by the IRS, so no tax is due on them.
3.
What is the purpose of offering employees a tuition reimbursement plan?
All of the above. Employers offer tuition reimbursement for all of these reasons.
4.
Which type of federal loan is need-based?
Direct subsidized loans. The others are not need-based.
5.
Which of the following is true regarding student loans?
Different rules apply to federal and private student loans. It's important to know the difference.
6.
Generally, an employee receiving student loan payments from her employer is allowed to stop making payments on her own.
False. Generally, employees must continue making payments in order to qualify for assistance.