Credit Management

The interest or money that is charged a borrower for the use of credit is the:

• finance charge

• collateral

• capital

• principal

Which of the following is NOT an advantage of using credit?

• it allows you to shop at one store

• it is convenient

• it is safer than carrying large sums of cash

• it is useful in emergencies

It is illegal to discriminate on the basis of which of the following in granting or denying credit?

• bank affiliations

• occupation

• lawsuits

• marital status

A debtor is:

• person who borrows money

• accumulated assets

• assets pledged to ensure the repayment of debt

• person who loans money

The creditor is

• person who borrows the money

• the person who lends the money

• accumulated assets

• assets pledged to assure repayment of a loan

The type of bankruptcy that allows businesses to continue operating under court supervision as they repay their restructured debts is

• involuntary

• chapter 11

• chapter 7

• chapter 13

APR stands for

• annual percentage rate

• annuity per capita

• average percentage rate

• annual profit and revenue

A reorganization form of bankruptcy for individuals that allows debtors to keep their property and use their income to pay a portion of their debts over three to five years is known as:

• chapter 7

• chapter 11

• chapter 13

• chapter 9

A liquidation form of bankruptcy that wipes out most debts in exchange for giving up most of one's assets.

• chapter 7

• chapter 11

• chapter 13

• chapter 9

Which of the following is NOT one of the three credit bureaus?

• Equifax

• Intuit

• Experian

• TransUnion