ABC's of Credit

What is a credit score?

• a number between 300 and 850 representing your creditworthiness

• a statistical number that evaluates a consumer's creditworthiness and is based on credit history.

• Often referred to as a FICO score

• All of the above

What is an interest rate?

• it is your level of interest about a certain topic expressed as a percentage of your total interest

• The amount in terms of dollars that you have to pay back on a purchase

• it is the rate at which your interest in something expires. The higher the number, the quicker your interest expires

• The amount in terms of a rate or percentage that you have to pay back on an amount borrowed

What is a credit report?

• A detailed report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness

• A detailed report of a bank's credit history prepared by a credit expert and used by consumers in determining a bank's creditworthiness

• A report which shows which credit cards are better than others

• A report invented by Allan Greenspan and credited to Al Gore

When I apply to borrow money for a car, the loan company will most likely look at my credit history.

• True
• False

A bad credit report cannot affect my chances of getting a job.

• True
• False

Which of the following is one of the 3 nationally recognized credit bureaus?

• Equifax

• Federal Reserve

• Postal Credit

• TripleUnion

Your credit score is not configured off of which of the following:

• Payment history

• Amount of money owed

• Grades in School

• Length of credit history

Which is an exceptional credit score?

• 672

• 555

• 713

• 813

My credit history does not affect my chances for renting my first apartment.

• True

• False

Paying my bills late could negatively affect my credit history.

• True

• False