EPF Unit 7 Review: Credit, Investing, and Insurance

Amount charged for a loan or earned on a savings account?

• Principle

• Interest

• Loan Payment

What do you call the original sum of money borrowed in a loan?

• Deposit
• Interest
• Return
• Principal

A card issued by a bank that allows you to use money from your account is called a...?

• credit card
• birthday card

• gift card
• debit card

What is a prepaid card?

• A prepaid card is a type of card that automatically deducts funds from a linked bank account.
• A prepaid card is a type of card that allows unlimited spending without any limit.
• A prepaid card is a type of payment card that is loaded with funds before it is used.
• A prepaid card is a type of credit card that requires a credit check.

What is a credit card?

• A credit card is a type of insurance policy.
• A credit card is a form of identification used for voting purposes.
• A credit card is a type of public transportation pass.
• A credit card is a payment card issued to users to enable the cardholder to pay a merchant for goods and services with borrowed money with intrerest.

Why is it best to pay more than the minimum payment each month on a credit card?

• To reduce the balance faster and save money on interest charges.

• To avoid late fees
• To earn more rewards points
• To increase the credit limit

Why is it best to pay off your entire credit card balance monthly?

• It leads to better financial management and higher interest rates.
• It allows for more debt accumulation and a negative credit history.
• It helps increase interest charges and lower credit score.
• It helps avoid interest charges and maintain a good credit score.

This box of credit/loan information is called a (an)______________?

• credit history report

• Schumer box

• Financial dossier

• credit report

If you get a cash advance on this credit card, what will your APR (Annual Percentage Rate) be?

• 15.99% to 24.74% APR

• 0% APR

• 15.99%

• 25.99% APR

What APR will you pay during the first 15 billing cycles as a new customer?

• 15.99% APR

• 15.99% TO 24.74%

• 25.99% APR

• 0% APR