Credit Knowledge Quiz

What percentage of Americans don't know when they start being charged interest on credit card purchases?

• 9%

• 55%

• 78%

• 8%

What is the impact of carrying a credit card balance on a person's credit score?

• It helps build credit

• It improves credit utilization

• It does nothing to help credit score

• It reduces credit score

What is the effect of closing an older, paid-off credit card on a person's credit score?

• It reduces credit utilization

• It has no impact on credit score

• It improves credit score

• It hurts credit score

How does paying a credit card bill late affect a person's credit score?

• It always hurts the credit score

• It only hurts if payment is over 60 days late

• It never hurts the credit score

• It only hurts if payment is over 30 days late

What is the impact of having multiple credit cards on a person's FICO score?

• It has no impact on FICO score

• It reduces FICO score

• It increases credit utilization

• It improves FICO score

How many different credit scores do most consumers have?

• More than three

• Exactly three

• Exactly two

• Only one

When does interest start accruing on credit card purchases?

• Never if the bill is paid in full each month

• 30 days after a purchase

• Immediately after a purchase

• The day after the payment due date

How do credit card companies make money?

• They don't make money

• Only from charging merchants for transactions

• From both consumers and merchants

• Only from consumers paying interest and fees

Is an annual credit card fee worth paying if the rewards earned exceed the cost of the fee?

• Yes, always

• No, never

• Depends on the cardholder's spending

• Depends on the cardholder's credit score

What is the impact of closing an older credit card on a person's credit score?

• It reduces credit utilization

• It has no impact on credit score

• It improves credit score

• It hurts credit score