BAFM 103 Quiz 4

These refer to unsecured loans for a broad range of consumption purposes, granted to individuals mainly on the basis of regular salary, pension or other fixed compensation

• Credit Card Loans

• Salary-based general-purpose consumption loans

• Micro-finance Loans

• Agricultural Loans

Repayment of salary-based loans would come from any of these EXCEPT

• salary deductions

• debits from the borrower’s deposit account

• mobile payments, pay- through collections, over-the-counter payments

• government agency

Salary-based general-purpose consumption loans may include credit accommodations for all of these EXCEPT

• motor vehicles

• education

• hospitalization or emergency

• travel

Original loan term for salary-based loans shall not exceed

• one year

• two years

• three years

• 10 years

This refers to any card or other credit device, including its virtual representation, intended for the purpose of obtaining money, property, goods or services on credit.

• ATM card

• credit card

• debit card

• ID card

Minimum amount due or minimum payment required refers to

• the minimum amount that the credit cardholder is required to lend on or before the payment due date for a particular billing period/cycle

• the minimum amount that the credit cardholder is required to borrow on or before the payment due date for a particular billing period/cycle

• the minimum amount that the credit cardholder is required to pay on or before the payment due date for a particular billing period/cycle

• to the minimum amount that the credit cardholder is required to use on or before the payment due date for a particular billing period/cycle

Minimum amount due or minimum payment required includes all of the following EXCEPT

• Outstanding balance multiplied by the required payment percentage or a fixed amount, whichever is higher

• Any amount which is part of any fixed monthly installment that is charged to the card

• Any amount in excess of the credit line

• Future purchases

This refers to any provision in the contract between the bank and the cardholder that gives the bank the right to demand the full settlement of the obligation in case of default or non-payment of any amount due, or for any valid reason.

• Acceleration clause

• Outstanding Balance

• Balance transfer

• Simple annual rate

This refers to the uniform percentage which represents the ratio between the finance charge and the amount to be financed under the assumption that the loan is payable in one (1) year with single payment upon maturity and there are no upfront deductions to principal.

• Acceleration clause

• Outstanding Balance

• Balance transfer

• Simple annual rate

A billing cycle/billing period shall be comprised of

• at least 1 week

• at least fifteen (15) calendar days

• at least 28 calendar days.

• exactly 3 months