Consumer Credit Workplace Essentials

When you purchase something you do not pay for immediately:

• debit

• asset

• credit

• FICO

A person or organization that extends credit to a consumer.

• loaner

• extender

• mom

• creitor

Tags

CCSS.RF.5.3A

CCSS.RF.4.3A

CCSS.RF.3.3C

CCSS.RF.3.3D

CCSS.RF.3.3B

A person who uses credit

• debtor

• creditor

• auditor

• principal

Your ability to earn money now and in the future. Included in your financial history when applying for credit.

• earning power

• credit rating

• assets

• future investment

Which of the following is the definition of available credit?

• The difference between the maximum amount you can owe and the actual amount you owe on a credit card.

• The maximum amount that a credit card holder can owe on a credit card at one time.

• The cost of using a credit card for the current billing period.

• A purchase, cash advance, balance transfer, or payment made using a credit card.

Tags

CCSS.7.RP.A.3

What is an interest rate?

• The fee that is paid to borrow money. 
• The non-interest portion of a loan.
• The rate lenders charge borrowers for money
• The paying off of a debt with a fixed repayment schedule in regular installments over a period of time

The amount charged if your payment is received after the billing due date.

• late payment fee
• overdue fee
• withdrawal fee
• loser fee

Monique buys a $4,700 air conditioning system using an installment plan that requires a 15% down payment. How much is the down payment?

Answer explanation

4,700 * 0.15 = $705

A person who has a good personal credit record is generally charged a lower interest rate when he applies for a loan.

• True

• False

Tags

CCSS.7.RP.A.3

Which of the following would affect a good credit record?

• Avoid late payments

• Maintain a good habit of financial discipline

• Avoid impulse purchases

• Apply for more credit cards