Credit/Debt Management

The least amount that must be paid on a credit card balance each month is the

• Minimum payment

• Credit limit

• Late fee

• Money time

The bank will NOT grant a loan to your 25 year old sister, if she

• is trustworthy and has exceptionally good credit

• has no credit history or a job to pay them back

• has a reasonable plan for the money she needs to borrow

• has other assets to offer as security for the loan

When wanting to buy a 'smart' television, it is best to

• wait until a new model comes out before purchasing

• use a credit card

• save up a deposit and then use a credit card

• save up for it and pay with your debit card

A fee charged when a cardholder does not make minimum monthly payment by the due date

• Interest
• Late fee
• Due date

Maximum  dollar amount that can be charged on a credit card

• Credit limit
• Interest
• Late fee

Price you are paying for borrowing money

• Late fee
• Interest
• Over the limit fee

How can a cardholder avoid paying interest on a credit card?

• Do not pay anything
• Pay the minimum balance every month
• Pay the minimum payment after its due date
• Pay the balance in full every month

Only making the minimum payment on a credit card every month will:

• take longer to pay off, which will result in paying more interest, more money
• pay the credit card off faster
• lower the amount total paid for the purchase

Paying credit card payments on time is:

• positive - good
• negative - bad

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