What is Credit??

You are entitled to a free copy of your credit report twice a year.

• TRUE

• FALSE

What is the highest credit score number?

• 750

• 800

• 850

• 900

Errors on a credit report are easy to fix.

• TRUE

• FALSE

Which type of loan will be in repayment for more than 10 years?

• timely loans

• intermediate-term loans

• long-term loans

• large lump loans

Your credit rating is a number calculated by using information on a credit report which shows lenders the risk they take by loaning money to you.

• TRUE

• FALSE

FICO stands for Fair Isaac Corporation.

• TRUE

• FALSE

Which of the following defines APR?

• yearly membership or participation feed

• a measure of the cost of credit, expressed as a yearly rate

• loans which will be in repayment for less than an 18 month time period

• fees for getting cash advances

Which of the following is NOT a source of credit?

• checking account

• mortgage companies

• credit unions

• credit card companies

What type of loan would one need to buy a house?

• short-term

• intermediate

• long-term

• none of the above

Which of the following defines credit?

• Yearly membership or participation fees

• fees for getting cash advances

• the ability to acquire money, goods or services from others without immediate payment

• loans which will be in repayment for less than an 18 month time period