NGPF 8.3-8.4 Credit History and Histograms and Dot Plots

Why do lenders look at credit reports?

• To determine the size of your household

• To provide them with details about your savings account

• To decide whether you are a qualified or risky candidate for credit

• To edit your credit score

The following options are all included in your credit report trade lines, EXCEPT...

• Amount of money in your checking account

• Payment history

• Current balances on your loans

• When you opened your credit accounts

Why should you review your credit report regularly? Choose two correct answers.

• To monitor how different factors are impacting your FICO score

• To increase your credit views, which automatically increases your credit score

• To check your credit report for accuracy

• To open additional loans and lines of credit

What 3 things can you do to monitor your credit without paying for a credit monitoring service?

• Freeze your credit

• Set up automatic fraud alerts

• Review your credit reports and report errors

• Obtain identity theft insurance

• Sign up for free credit scores through your credit card or other financial website

The dot plot and box plot below both represent the same data set on credit scores that you saw during this activity. Complete the table to compare the two representations: what are the advantages and disadvantages of each graph?

• Shows the median and quartiles of data

• Disadvantages of using a box plot

• Easy to read and understand distribution

• Advantages of using a dot plot

• Hard to find mode and individual points

• Advantages of using a box plot

• Not good for large data sets

• Disadvantages of using a dot plot

All of the following may be included on your credit report, EXCEPT...

• On-time credit card payments

• Unpaid bills in collections

• Student loans

• Bank account balance

What is a benefit of using a credit monitoring service?

• It reduces the likelihood of your personal data being exposed

• It automatically improves your credit score

• It notifies you quickly if someone tries to open a credit account in your name

• It disputes inaccurate credit information on your behalf

Skye requests a copy of her credit report and discovers that her listed address is incorrect.

What should Skye do about this error?

• She should pay off and close as many of her credit accounts as possible within 30 days

• She should contact a lawyer who can sue the credit bureau to get the error corrected

• She should report the error to the credit bureau and consider placing a red flag or freeze on her credit report

• Nothing - she can't correct the error because credit reports can only be updated by financial or government institutions

Which of the following companies are credit reporting bureaus?

• FICO®

• Equifax®

• Experian®

• TransUnion®

• VantageScore®

What is the average phone battery life in this dot plot?