U5L1 BW Finance

Front

Debt is an amount owed to a person or organization for funds borrowed. It needs to be repaid, usually with interest.

Back

True

Front

It is important before you take on any debt to understand the difference between _____ debt and bad debt.

Back

good

Front

What percentage of Americans with credit card debt won't be able to pay it off within a year?

Back

70%

Front

According to the graph, which type of debt has the second-highest percentage increase after student loans? Options: Auto Loan, Mortgage, HE Revolving (Home Equity Lines of Credit), Credit Card

Back

Auto Loan

Front

What is one of the reasons payday loans can trap consumers in a cycle of debt? Options: They have a long repayment period., They offer lower interest rates compared to other loans., They are due in a short time in full, with higher fees and interest rates., They are only available to high-income earners.

Back

They are due in a short time in full, with higher fees and interest rates.

Front

Which of the following things cannot be done with a debit card but can be done with a credit card?
- go into debt
- rent a car
- purchase something online
- purchase an airline ticket

Back

go into debt