Debt

What is debt?

• Money

• Money for free

• Money that is owned

• Money for food

Answer explanation

The answer is Money that is owned

Something, typically money, that is owed or due.

Which of the following statements is True about Debt

• Debt is the amount of money you have in your checking account

• Debt is the ability to borrow money

• Debt is the amount of money you have borrowed from a person or a business

• Debt is the amount of money you have in a savings account.

True or False, When you owe someone money, you have a liability

• True

• False

A home loan is?

• Secured debt

• Neither

• Unsecured debt

• Both

What is Secured debt

• Debt that has a liability attached to it.

• Debt that will not change

• Debt that has an asset attached to it.

• Debt that you can trust.

Credit card debt is an example of

• Secured debt

• Neither

• Unsecured debt

• Both

Student loan debt is an example of

• Secured debt

• Unsecured debt

• Neither

• Both

True or False On most credit cards, you can avoid paying interest on purchases

• True

• False

You have to build credit to survive

• True

• False

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The most expensive way to finance and operate a vehicle is

• A car lease

• Taking out a car loan

• Paying cash for a car

• Buying a car from a friend