Test your knowledge

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1.
Consolidating federal loans into a private loan often provides the lowest interest rate and the best borrower protections.
Choose wisely. There is only one correct answer.
False. In this situation, the borrower loses a number of important federal rights.
2.
Rachel works for a large company that makes millions of dollars in profit every year. This disqualifies her from loan forgiveness under the Public Service Loan Forgiveness Program.
Choose wisely. There is only one correct answer.
True. Qualifying companies must be not-for-profit.
3.
Which of the following is true regarding student loans?
Choose wisely. There is only one correct answer.
Different rules apply to federal and private student loans. It's important to know the difference.
4.
Generally, an employer contribution to an employee's student loan debt is sent to which party?
Choose wisely. There is only one correct answer.
The provider of the loan. Generally, the employer contribution is sent to the loan provider.
5.
Which type of federal loan is need-based?
Choose wisely. There is only one correct answer.
Direct subsidized loans. The others are not need-based.
6.
What is the purpose of offering employees a tuition reimbursement plan?
Choose wisely. There is only one correct answer.
All of the above. Employers offer tuition reimbursement for all of these reasons.