Credit Card Knowledge Quiz

The maximum amount of money that a credit card company/bank will allow you to borrow from them:

• Credit Limit

• Grace Period

• Late Fee

• Credit Report

A detailed report of a person's financial history:

• Credit Limit

• Grace Period

• Late Fee

• Credit Report

A charge you pay for not making the required payment by the due date:

• Credit Limit

• Grace Period

• Late Fee

• Credit Report

The period of time a credit card company/bank gives you to pay for your purchase without interest charges is called:

• Credit Limit

• Grace Period

• Late Fee

• Credit Report

Which type of card allows the user to borrow money up to a certain limit?

• Debit Card

• Credit Card

• Gift Card

• Prepaid Card

Which type of card allows the user access to his/her own money?

• Debit Card

• Credit Card

• Gift Card

• Prepaid Card

What is a "minimum monthly payment" on a credit card statement?

• The total amount due on the credit card.

• The amount you are required to pay to avoid a fee for non-payment.

• The amount you are required to pay to avoid paying interest.

• The fixed amount you pay each month to pay off the balance within a short period of time.

What is type of loan has interest that is calculated on the original amount borrowed plus prior interest?

• Compound

• Simple

What is type of loan has interest that is calculated only on the original amount borrowed?

• Compound

• Simple

Find the amount of interest due for the following loan. Round to the nearest dollar. Remember, the formula is Principal x Rate x Time = Interest Due. Principal= $8,340, Interest Rate= 13.263%, Period of Time= 30 months.

• $3,318

• $33,184

• $2,765

• $276,533