Which type of financial aid does not have to be repaid?

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Prepare for the EPF Standard Essentials Test. Use flashcards and multiple choice questions, each with hints and explanations. Ace your exam!

Grants are a type of financial aid that do not need to be repaid. They are typically awarded based on financial need and are provided by the government, educational institutions, or private organizations. Grants are designed to help students cover the costs of tuition, fees, and other educational expenses, making them an essential resource for those seeking assistance without the burden of repayment.

While scholarships also do not require repayment and are awarded based on various criteria such as academic achievement, talents, or special circumstances, the specific context of the question might suggest a focus on non-repayable forms of assistance that are widely categorized.

Student loans, on the other hand, require repayment with interest after graduation or upon leaving school, which clearly differentiates them from grants. Work-study programs involve part-time employment for students to earn money to help pay for educational expenses, but they also do not fall into the category of aid that is simply given without the expectation of work or repayment. Thus, grants stand out as a significant form of educational financial support that is provided without the burden of repayment.

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