Credit Cards - Takehome Quizizz

If you are late making a payment on your credit card, which of these things will NOT happen:

• It will lower your credit score
• It will stay on your credit history for seven years
• Your interest rate will increase to the default rate
• You will qualify for debt relief

True or False. The APR is the maximum balance due that you can have on your credit card.

• True
• False

True or False. The smallest amount you are allowed to pay each month on a credit card is called the credit limit.

• True
• False

True or False. If you only pay the minimum payment, you will be paying for a very very long time.

• True
• False

True or False. If you only pay the minimum balance, you will end up paying a whole big bunch of interest.

• True
• False

Which of these are reasons why your balance won't go down much if you only pay the minimum payment on your credit card bill:

• Most of your payment goes toward interest
• The minimum payment goes down as the balance goes down
• Both of these
• Neither of these

If you are at your credit limit, and you pay the minimum balance on time every month, which of these FICO factors will you hurt:

• Payment history
• Debt-to-credit ratio
• Length of credit history
• Types of credit
• Credit inquiries

If you are at your credit limit, and you fail to make the minimum balance on time every month, which TWO of these FICO factors will you hurt:

• Payment history
• Debt-to-credit ratio
• Length of credit history
• Types of credit
• Credit inquiries

If you cancel one of your credit cards because you don't use it any more, which two of these FICO factors will you hurt:

• Payment history
• Debt-to-credit ratio
• Length of credit history
• Types of credit
• Credit inquiries

True or False. If you pay the full balance each month, you will end up paying zero interest.

• True
• False