Finance and economic -11 grade-

What are some sources of income?

• Wages, capital, investment, rental

• Capital, taxes, cards, investment

• Entrepreneur, credit card, taxes,

What is meant by an uncollateralized?

• A loan taken on a life insurance policy

• A home equity loan

• A personal loan without assets to cover the loan amount

• A loan not backed a co-signer who agrees to cover the amount of the loan

You were approved for a loan that combines all your debts into one loan with lower payments based on a longer repayment period or lower APR. This type of loan is a:

• Consolidation loan

• Collateralized loan

• Predatory loan

• Balloon payment loan

The type of credit card issued by a department store is called?

• A cash card

• A debit card

• A charge card

• An installment card

When you mail your credit card payment on the due date, your payment will considered:

• Late, but the company will not assess a fee

• On time, because you paid it within the five day grace period

• Late, and the company will assess you a late fee

• On time as long as the postmark is on or before the due dat

Redlining is characterized by a lender who denies a loan:

• To customers living in certain geographic areas

• To customers applying for a loan over a certain dollar amount

• Because of a customer’s age

• Based on the customer’s ability repay

When a person declares bankruptcy that fact will appear on the person’s credit report

• Until the person repays all debts owed

• For a 3 year period

• For a 10 year period

• Until the person is able to receive a new credit card

To qualify for a Federal Housing Administration (FHA) loan, a person must generally

• Provide two individuals to co-sign the loan

• Have one-quarter of the cost of the home for a down-payment

• Fulfill income guidelines

• Have at least a high school diploma

A person has three credit cards with very large outstanding balances and is unable to make payments on any of them. Which action should the person take?

• Contact the Internal Revenue Service in order to avoid paying income tax this year

• Notify the credit card companies in order to negotiate a new payment loan

• File for bankruptcy in order to maintain one’s current credit score

• Notify a credit reporting agency in order to avoid a late fee

When a person brings an item to a pawnshop to obtain cash, the transaction is considered

• A sale agreement

• An unsecured loan

• A collateralized loan

• A custodial payment