Match the scenarios with terms related to financial aid.

Question

default
work-study
forgiveness
Cheryl received a student loan to pursue a degree to become a dental assistant. But unfortunately her school closed down due to legal complications. As Cheryl couldn’t complete the course due to no fault of her own, Cheryl need not pay back the loan.
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Tom got a student loan to pursue a nursing science degree. But he couldn’t manage his money well enough, due to which he was unable to pay back his loan.
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Sam is a pursuing an undergraduate program in Economics. He works as an assistant to the financial aid officer, which helps him earn $4000 annually. This helps him pay for a few educational expenses.
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Answer 1

Here are the scenarios matched with the appropriate terms related to financial aid:

1. Forgiveness: Cheryl received a student loan to pursue a degree to become a dental assistant. But unfortunately, her school closed down due to legal complications. As Cheryl couldn’t complete the course due to no fault of her own, Cheryl need not pay back the loan.

2. Default: Tom got a student loan to pursue a nursing science degree. But he couldn’t manage his money well enough, due to which he was unable to pay back his loan.

3. Work-study: Sam is a pursuing an undergraduate program in Economics. He works as an assistant to the financial aid officer, which helps him earn $4000 annually. This helps him pay for a few educational expenses.