Fall 2019 MM Final Review

Which of the following is not a factor in determining a FICO score?

• Using credit cards

• Paying cash for all purchases

• Taking out a mortgage on a house

• Getting a personal loan from a bank

Which of the following is NOT a good idea for getting out of debt?

• Borrow money from your parents to pay for the debt

• Sell something

• Quit borrowing money

• Get a part-time job or work overtime

Which of the following things cannot be done with a debit card but can be done with a credit card?

• Purchase an airline ticket

• Purchase something online

• Rent a car

• Go into debt

Tags

CCSS.RI.8.2

CCSS.RL.11-12.2

CCSS.RL.7.1

CCSS.RL.8.1

CCSS.RL.9-10.2

Jake's credit application has been declined because of his negative credit history. Which statement is most likely to be true?

• Jake has received 3 traffic tickets in the past 2 months

• Jake holds 2 store credit cards, a bank credit card, a car loan, and a mortgage

• Jake pays his bills consistently and on time

• Jake has applied for 4 credit cards and a car loan in the past 6 weeks

Which of the following is an act of identity theft?

• Having the same name as another person

• Receiving permission to use a parent's credit card for school clothes

• Wrongfully acquiring and using someone's personal identification

• Taking the identity of another individual as inspiration for a costume

Tags

CCSS.RI. 9-10.9

CCSS.RI.11-12.9

CCSS.RL.11-12.2

CCSS.RL.8.2

CCSS.RL.9-10.2

Matt wants to guard his personal information. Which personal information is LEAST LIKELY to be used by scammers?

• Phone numbers

• Driver's license numbers

• Credit card numbers

• Bank account numbers

Which of the following actions will not make an individual vulnerable to identity theft?

• Throwing mail in the garbage

• Paying cash for a movie ticket

• Responding to an email from your depository institution (bank)

• Using a computer without updated spyware

What factors affect a credit score?

• Type of debt

• Duration of debt

• New debt

• All of these affect a credit score

Which of the following is NOT a recommended step in the Drive Free method of purchasing a car?

• Start with an inexpensive car and gradually move up in car value as your savings increases.

• Explore new car dealerships for the best interest rate.

• Plan your purchase in advance using the sinking fun method of saving.

• Place your savings in a mutual fund so that your money can make more money.

Which of the following is NOT recommended in the debt snowball method of getting out of debt?

• Every extra dollar you get should be thrown at the largest debt first.

• List your debts in order from smallest to largest balance and focus on paying the smallest debt off first.

• Attack your debt with intensity.

• Every time you pay off a debt, you add its old minimum payment to your next debt payment.