Credit and Debt Quiz

What is a credit bureau?

• A company that collects and maintains individual credit information

• An entity used by lenders to recover funds

• The amount charged by a lender to a borrower

• The process of recovering the balance of a loan

What is a FICO Score?

• The process of forcing the sale of an asset

• The amount of credit a consumer has used

• The most common credit score

• A number from 300 to 850 assigned to a person

What is a credit inquiry?

• The process of recovering the balance of a loan

• The amount charged by a lender to a borrower

• The legal process in which a lender attempts to recover the balance of a loan

• A request from a business to check a consumer’s credit

What is credit utilization?

• A contractual agreement in which a borrower receives something of value

• The amount charged by a lender to a borrower

• The process of forcing the sale of an asset

• The amount of credit a consumer has used relative to the total amount of credit extended

What is a collections agency?

• A debt collector used by lenders to recover funds

• A company that collects and maintains individual credit information

• The process of forcing the sale of an asset

• The amount charged by a lender to a borrower

What is foreclosure?

• The amount of credit a consumer has used

• A contractual agreement in which a borrower receives something of value

• A legal process in which a lender attempts to recover the balance of a loan

• A number from 300 to 850 assigned to a person

What is credit score?

• A number from 300 to 850 assigned to a person

• A contractual agreement in which a borrower receives something of value

• The process of forcing the sale of an asset

• The amount of credit a consumer has used

What is interest rate?

• A debt collector used by lenders to recover funds

• A company that collects and maintains individual credit information

• The amount charged, expressed as a percentage of principal, by a lender to a borrower for the use of money

• The amount of credit a consumer has used relative to the total amount of credit extended

What is a credit?

• A contractual agreement in which a borrower receives something of value

• A number from 300 to 850 assigned to a person

• A request from a business to check a consumer’s credit

• The amount charged, expressed as a percentage of principal, by a lender to a borrower for the use of money

What is a soft inquiry?

• The amount of credit a consumer has used relative to the total amount of credit extended

• Those not initiated by the consumer such as those made by employers or insurance companies

• A number from 300 to 850 assigned to a person

• Initiated when a consumer applies for credit such as when a consumer applies for a loan