What Is the Difference Between Federal Subsidized and Unsubsidized Loans

question 25

Multiple Choice

What is the difference between federal subsidized and unsubsidized loans?

• A)Subsidized loans do not require repayment until 12 months after graduation,whereas unsubsidized loans require repayment immediately upon graduation.
• B)With a subsidized loan,the interest on the loan is paid by the government if the student is enrolled in school at half-time status or greater; an unsubsidized loan requires the student to pay the interest on the loan that has accrued while still in school.
• C)An unsubsidized loan allows students to borrow a greater amount of money than subsidized loans.
• D)All of the options are correct.

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