Victor and Maria have always enjoyed a close relationship with Marias niece Teresa, who graduated from college with a pharmacy degree. Teresa recently asked Maria for some assistance with her finances now that her education debts are coming due. She owes $29,000 in student loans and has $64,000 in disposable income annually. Teresa would like to take on additional debt to furnish her apartment and buy a better car. After reading these details, type up your response to the following questions:

1. What advice might Maria give Teresa about managing her student loan debt?

2. If next year Teresa were to consolidate her education debt into one loan at 6 percent interest, for five years with a monthly payment of $566, what advice might Maria give Teresa about managing her student loan debt?