Credit and Borrowing Quiz

What is the term for the difference between the market value of a property and the amount owed on it?

• Equity

• Net worth

• Asset

• Capital

What is a credit card issued by a retailer that can only be used in that retailer’s store and its affiliates called?

• Retailer/store credit card

• Store loyalty card

• Retail membership card

• Store charge card

What is the specific amount of time after the due date during which the borrower can delay a payment without incurring a penalty?

• Grace period

• Late fee waiver

• Payment extension

• Penalty-free duration

What is a short-term, unsecured loan, usually at high interest rates, initiated by a worker who needs cash immediately?

• Payday loan

• Cash advance

• Title loan

• Installment loan

Who is a person appointed to oversee a bankruptcy case?

• Bankruptcy Trustee

• Bankruptcy Administrator

• Insolvency Practitioner

• Receivership Manager

What is an interest rate on a loan that changes over time to reflect changes in the benchmark rate or index?

• Variable interest rate

• Fixed interest rate

• Adjustable interest rate

• Floating interest rate

What is the process under which some of your property is sold in order to pay off some or all of your debts?

• Chapter 7 bankruptcy

• Chapter 13 bankruptcy

• Debt settlement

• Liquidation

What is a detailed summary of a person’s credit history called?

• Credit report

• Credit score

• Credit history

• Credit rating

What is a yearly fee charged by credit card companies or banks to hold and use their credit card or line of credit?

• Annual fee

• Variable interest rate

• Membership fee

• Service charge

What is the term for a person or company that borrows money from a finance business and agrees to make regular payments until the debt is paid?

• Debtor/borrower

• Lender

• Creditor

• Loan recipient