# CTE Resource Center - Verso - Economics and Personal Finance Task 1103616305

CTE Resource Center - Verso

Virginia’s CTE Resource Center

Explain the repayment process for student loans.

Definition

Explanation should include the following:
  • Understanding that these loans cannot be canceled
  • Understanding that loans can be consolidated into one loan with a single interest rate and repayment plan
  • Understanding that most loans have a grace period before you must begin repayment
  • Understanding that loan payments begin after you leave college or drop below half-time enrollment
  • Understanding that repayment of PLUS loans begins with disbursement of the funds
  • Understanding that the repayment amount is based on the
    • type of loan
    • amount borrowed
    • interest rate
    • repayment plan
  • Understanding the options for borrowers when they cannot pay (e.g., deferment, forbearance, loan consolidation)
  • Understanding that certain situations may result in cancellation, discharge, or forgiveness of a loan

Other Related Standards

Economics and Personal Finance Standards of Learning

EPF.13

The student will demonstrate knowledge of credit and loan functions by
  1. evaluating the various methods of financing a purchase;
  2. analyzing credit card features and their impact on personal financial planning;
  3. identifying qualifications needed to obtain credit;
  4. identifying basic provisions of credit and loan laws;
  5. comparing terms and conditions of various sources of consumer credit;
  6. identifying strategies for effective debt management, including sources of assistance;
  7. explaining the need for a good credit rating;
  8. comparing the costs and conditions of secured and unsecured loans; and
  9. comparing the types of voluntary and involuntary bankruptcy and the implications of each.

FBLA Competitive Events and Activities Areas

Banking and Financial Systems

 

Economics

 

Introduction to Business

 

Personal Finance