🏫 College Advising

A key characteristic of an unsubsidized federal student loan is that interest begins to accrue at what point?

A Only after the student graduates or leaves school.
B Immediately after the loan is disbursed, even while the student is in school.
C Six months after the student stops attending school at least half-time.
D Only when the borrower begins making payments on the loan.

✓ Correct Answer: Option B

Interest on unsubsidized federal student loans begins to accrue from the moment the loan funds are disbursed. The borrower is responsible for all accrued interest, including during in-school and grace periods.

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