Types of Credit

Which type of loan is meant to cover medical expenses?

• Personal Loan
• Auto Loan
• Student Loan
• Medical Loan

What is the purpose of overdraft protection?

• Preventing declined transactions
• Increasing credit limit
• Avoiding interest fees
• Investing in stocks

What is the main purpose of a credit card?

• Paying off debt
• Investing in stocks
• Saving money
• Borrowing money for purchases

What is the purpose of a cash advance?

• Paying off debt
• Withdrawing cash using a credit card
• Starting a business
• Investing in real estate

Which type of loan has a large final payment at the end?

• Student Loan
• Balloon Loan
• Auto Loan
• Mortgage

Which type of loan is used for covering emergencies until the next paycheck?

• Personal Loan
• Auto Loan
• Payday Loan
• Student Loan

Which type of loan has fixed payments over time?

• Personal Loan
• Auto Loan
• Installment Loan
• Student Loan

What is the repayment term for a mortgage?

• Few months
• Several years
• Indefinite
• Lifetime

What type of loan is used for buying a car?

• Mortgage
• Auto Loan
• Personal Loan
• Student Loan

Which loan is specifically designed for college expenses?

• Personal Loan
• Auto Loan
• Mortgage
• Student Loan