Credit

Why should you worry about having "good credit?"

• better credit terms

• something you can brag about

• it's the adult thing to do

• bad credit is very expensive to live with

An amount of credit extended to a borrower is known as a...?

• Line of Extension

• Several dollars lined up in a straight line

• Available Credit

• In the finance world it is referred to as a "long nose"

What is a credit score?

• a number between 300 and 850 representing your creditworthiness

• a statistical number that evaluates a consumer's creditworthiness and is based on credit history.

• Often referred to as a FICO score

• All of the above

What is a credit report?

• A detailed report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness

• A detailed report of a bank's credit history prepared by a credit expert and used by consumers in determining a bank's creditworthiness

• A report which shows which credit cards are better than others

• A report invented by Allan Greenspan and credited to Al Gore

The process of collecting funds that are owed and past due is called...

• gathering

• dollar collecting

• overdrafting

• collections

Which is not included in an individual’s credit report?

• Current and past addresses

• Account balances

• Bankruptcies and foreclosures

• Medical information

When may a person view his/her credit report for free?

• At any time and an unlimited number of times

• Once a year, from each of the three main credit reporting agencies

• A person may not review his/her credit report

• When a person has sufficient financial resources

Allowing goods and services to be used now with a promise of payment in the future.

• credit
• bankruptcy
• debtor
• foreclosure

Which one of these is NOT one of the 3 main Credit Bureaus?

• Equifax

• Experian

• FICO

• TransUnion

What is the primary purpose of a credit score?

• To evaluate the value of a property

• To assess an individual's creditworthiness

• To calculate the annual income of a person

• To determine the interest rate on a savings account