Unit 1 Test Review Consumer Math B

If your parents are buying a house for $187,500 with a 20% down payment, what is the down payment amount?

• $37,500

• $18,750

• $20,000

• $25,000

Tags

CCSS.6.RP.A.3C

Which of the following statements hold true for secured loans? Select all that apply.

• Higher borrowing limits

• Easier approval even with lower credit scores

• Higher interest rates

• Do not require collateral

Which of the following statements hold true for unsecured loans? Select all that apply.

• Approval heavily reliant on credit score

• Reduced risk due to collateral

• Faster and easier approval process

• More accessible for those with low credit

Secured loans are usually for longer periods of time at (a)   interest rates.

Some examples of (a)   loans are student loans, personal loans, and home improvement loans.

When you pay a monthly payment for a car for a set amount of time, but return it at the end of the set time period, it is called:

• renting

• buying

• owning

• leasing

Tags

CCSS.RI.11-12.3

CCSS.RI.11-12.5

CCSS.RI.8.3

CCSS.RI.9-10.3

CCSS.RI.9-10.5

You will typically need to pay PMI (private mortgage insurance) if you buy a house and do not put a down payment of at least ______ of its value.

• 10%

• 15%

• 20%

• 25%

There is a significant difference in loan interest rates between new and used cars.

• True
• False

Lenders rely on your credit score to determine:

• loan amount

• repayment length

• risk

• all loan terms

Interest begins to accrue from the date of the transaction for all of the following except:

• credit card purchases

• cash advances

• auto loans

• mortgages

Tags

CCSS.7.RP.A.3