Introduction to credit

Front

What does it mean to use credit?

Back

Borrowing money to pay for something, and later paying that loan back, with interest

Front

Credit cards are a form of which of the following? Loan, Gift, Insurance

Back

Loan

Front

If you do not pay your credit card in full you may be charged which of the following? A one time fee, Interest, An overdraft fee

Back

Interest

Front

A lower interest rate means you pay ________ money. A higher interest rate means you pay __________ money.

Back

less, more

Front

Debit and credit cards work exactly the same way.

Back

False

Front

What happens when you use your debit card?

Back

You pull money directly from your checking account.

Front

A key difference between a debit and credit card is....

Back

You can build a credit score when using a credit card responsibly, not with a debit card.

Front

Which of the following is true about store credit cards? You are only able to use the credit card for that store in particular, You are able to use the credit card for that store and different types of stores, You are able to use the credit card for any store or restaurant.

Back

You are only able to use the credit card for that store in particular

Front

Which of the following would someone most likely use a credit card to pay for? Car, House, Groceries, Education

Back

Groceries

Front

Which of the following is something that a person would most likely use a loan to pay for? Gas, Groceries, Haircut, Car

Back

Car