Credit Unit Review

Which term refers to a loan where you pay both principal and interest in scheduled payments?

• Credit History
• Amortized Loan
• Simple Interest
• Co-Signer

What shows the yearly cost of a loan including fees?

• APR (Annual Percentage Rate)
• Fixed Rate
• Grace Period
• Minimum Payment

Who can access an account but doesn’t own the funds in it?

• Co-Signer
• Authorized Signer
• Account Holder
• Private Lender

What is a loan used specifically for purchasing a vehicle?

• Mortgage Loan
• Auto Loan
• Student Loan
• Home Equity Loan

Who agrees to repay a debt if the borrower cannot?

• Authorized Signer
• Private Lender
• Co-Signer
• Secured Creditor

What is an asset pledged for loan repayment?

• Interest
• Credit Card
• Collateral
• Digital Wallet

What type of interest is earned on both principal and previously earned interest?

• Simple Interest
• Compound Interest
• Fixed Interest
• Mortgage

What is the ability to buy now and pay later?

• Credit
• Loan
• Collateral
• Grace Period

What number reflects a person’s creditworthiness to lenders?

• Credit Card Disclosure
• Credit Freeze
• Credit (FICO) Score
• Down Payment

What allows purchases on borrowed money with a small plastic card?

• Debit Card
• Credit Card
• Digital Wallet
• Private Loan