Quiz 2

What is the major difference between debit cards and credit cards?

• Debit cards allow you to go into debt, while credit cards do not

• Debit cards immediately deduct money from your account, while credit cards allow you to make payments later

• Debit cards offer rewards and benefits, while credit cards do not

• Debit cards help you build your credit history, while credit cards do not

Which of the following is a pro of using credit cards?

• Credit cards immediately deduct money from your account

• Credit cards have safeguards against fraud

• Credit cards do not help you build your credit history

• Credit cards offer rewards and benefits

Which type of card is recommended for someone who cannot handle the temptation of spending more than they have?

• Credit cards

• Debit cards

• Both credit cards and debit cards

• Neither credit cards nor debit cards

What is a con of using debit cards?

• Debit cards can help you build your credit history

• Debit cards offer rewards and benefits

• Debit cards do not have safeguards against fraud

• Debit cards have a high interest rate

Why use a credit card over a debit card?

• You can build credit

• You can earn rewards

• You can pay less than you owe

• All of the above

What is a credit card "minimum"?

• The most you can spend in a month

• The amount you need to spend every month

• The least amount you need to pay back each month

• The penalty for being late on a payment

Each month you should...

• Use your credit card points

• Only use credit when needed

• Only use debit when needed

• Pay full credit statement if you can

What can credit card points go towards? (select multiple)

• Tuition

• Airline Miles

• Rent

• Discounts at stores and restaurants

What will NOT hurt your credit score?

• Missed payment

• Late payment

• Early payment

• Having too many credit cards

When you invest,the bigger the risk, the bigger the _____

• reward
• punishment
• regret
• failure