🏫 College Advising

For a Federal Direct PLUS Loan taken out by a parent for an undergraduate dependent student, who holds the ultimate responsibility for repaying the loan?

A The undergraduate student.
B The parent borrower.
C Both the parent and the student equally.
D The federal government, if the student graduates.

✓ Correct Answer: Option B

A Federal Direct PLUS Loan taken out by a parent is the legal responsibility of the parent borrower, not the student, regardless of whether the student contributes to payments.

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