Credit

A formal written agreement is usually called...

• Agreement

• Trust

• Contract

An example of good credit is...

• Education

• Car

• Doing your hair

• Buying an puppy

Two reasons why people credit are:

• Early consumption

• Interest

• Debt consolidation

• Misallocation of funds

Which is a form of credit

• Bank draft

• Consumer credit

• Collateral

• Credit cards

Credit allows the borrower to pass the cost of inflation on to the lender.

• True

• False

Wise use of credit helps to build a good credit rating.

• True

• Fasle

Credit is the supply of goods, services or money over a specific period in the future.

• False

• True

Credit used for purchases other than home mortgages.

• Consumer Credit

• Cash Credit

• Sales Credit

• Credit

Money borrowed mainly from a financial institution.

• Consumer Credit

• Cash Credit

• Sales Credit

• Credit

In the olden days, what was used in the form of credit?

• Exchange

• Trust

• Credit

• Money