Financial Literacy for Kids: Debit and Credit Quiz

What is a debit card directly linked to?

• A credit card company

• A checking account

• A loan

• A savings account

What does a credit card represent?

• A type of savings

• A direct link to your bank account

• A type of loan

• Physical cash

What happens if you don't have money in your checking account?

• You can still use your debit card

• Your savings account will cover the cost

• You cannot use your debit card

• You can use your credit card without interest

How often do you typically make payments on a credit card?

• Weekly

• Monthly

• Annually

• Every day

What is the minimum monthly payment on a credit card?

• A variable rate depending on the purchase

• A fixed percentage of the total credit limit

• The least amount you can pay back each month

• The total balance due

What happens if you pay off your credit card balance every month?

• You will be charged extra fees

• You will not be charged interest

• Your credit score decreases

• Your credit limit decreases

If Frankie pays only the minimum payment for her bike, how long will it take to pay off?

• 27 months

• 6 months

• 12 months

• 36 months

How much more will Frankie end up paying for the bike due to interest?

• $50

• $100

• $30

• $70

What would Frankie's account balance be if she used her debit card to buy the bike?

• $500

• $350

• $200

• $150

What is financial literacy?

• Understanding and using skills to manage money smartly

• A course only for adults

• The ability to play musical instruments

• Learning about history and geography