FAFSA Federal Aid Types

Question 1

Which federal grant does NOT need to be repaid and is awarded based on financial need?

Accepted Answer

Federal Pell Grant

Answer

Federal Direct Subsidized Loan

Answer

Federal PLUS Loan

Answer

Federal Perkins Loan

Question 2

What is the maximum annual Pell Grant award for the 2024-25 award year?

Accepted Answer

$7,395

Answer

$4,500

Answer

$5,500

Answer

$9,000

Question 3

What is the key difference between a Federal Direct Subsidized Loan and an Unsubsidized Loan?

Accepted Answer

The government pays the interest on subsidized loans while the student is in school

Answer

Subsidized loans have lower interest rates than unsubsidized loans

Answer

Unsubsidized loans require a credit check

Answer

Subsidized loans are available to graduate students

Question 4

What is the annual borrowing limit for a first-year dependent undergraduate student for federal Direct Loans?

Accepted Answer

$3,500

Answer

$5,500

Answer

$7,500

Answer

$9,500

Question 5

What is the Federal Work-Study (FWS) program?

Accepted Answer

A need-based program that provides part-time employment to help students earn money for education

Answer

A program that automatically pays tuition from a student's wages

Answer

A loan program for students who work while in school

Answer

A scholarship for students employed in federal agencies

Question 6

The Federal Supplemental Educational Opportunity Grant (SEOG) is awarded to students with what level of financial need?

Accepted Answer

Exceptional financial need, primarily to Pell Grant recipients

Answer

Moderate financial need

Answer

Any enrolled student

Answer

Students with an SAI above 1000