Credit Scores

A report that details how a person has used credit in the past is called a ___________________.

• report card

• credit card statement

• credit report

• savings account statement

Which of these activities are credit scores commonly used for?

• To determine you eligibility for government welfare assistance.

• To help lenders determine whether or not to give you a loan.

• To help lenders determine how much interest to charge you.

• Both b and c.

Credit scores are also known as FICO scores.

• True

• False

A credit score is a numeric score that measure what?

• How likely I am to repay a loan on time.

• How much income I earn compared to peers.

• How well I perform in school and work.

• All of the above

Your FICO score ranges from...

• 350-850

• 300-850

• 200-800

• 300-800

Which of these credit scores would you prefer?

• 525

• 701

• 801

• 861

• 954

Your friend confides in you that he has a low credit score. What is the single best way for him to improve his score?

• Pay bills on time

• Cancel his credit cards

• Get a car loan

• Check his credit score

Which of the following categories affects your credit score the most?

• Payment history.

• Amount owned

• Length of credit history

• New credit

• Types of credit used

Which credit score is more likely to qualify for a lower interest rate on a loan?

• 450

• 570

• 780

• 900

If you opened 5 new credit cards in 3 months, your credit score will likely...

• increase.

• decrease.

• stay about the same.

• ... well, it is hard to tell.