WorksheetsChapter 9 Credit Problems
Total questions: 26
Worksheet time: 24mins
Which of the following are common reasons people file bankruptcy
Excessive medical
bills
Small business failure
Loss of job and too
much debt
all of these
What are the 3 common types of Bankruptcies?
Chapter 1, Chapter 7, Chapter 13
Chapter 1, Chapter 11,Chapter 13
Chapter 7, Chapter 11, and Chapter 13
Chapter 7, Chapter 9, Chapter 13
Someone who is filing for bankruptcy, but tries to transfer money or other assets to someone else in order to hide assets from the bankruptcy court is committing ____________.
Chapter 13 Bankruptcy
Chapter 11 bankruptcy
Bankruptcy fraud
Chapter 7 bankruptcy
The legal process that allows a lender to take possession of a house because the borrower does not meet his or her mortgage obligations is called
garnishment
foreclosure
bankruptcy
discharge
When a car is pledged as collateral on a secured loan and the debtor fails to make payments, the creditor may __________ the car and sell it to pay the debt.
Buy
Repossess
Discharge
Garnish
A(n) __________ is a second mortgage or debt secured with the equity in your home.
Equity Loan
Personal Laon
Credit Card
Store Account
__________ is a legal process that allows part of an employee’s paycheck to be withheld and sent directly from the employer to the creditor.
Garnishment
Arbitration
Mediation
Foreclosure
With __________ scams, a company claims to be able to “fix” your poor credit record and give you a clean credit history.
Mediation
Debt
Credit Repair
Bankruptcy
How many years does Bankruptcy stay on a person's credit record?
Up to 14 years
Up to 20 Years
Up to 10 years
none of these
Which of the following are warning signs that debt has become a problem?
Your credit card balances are at or near the credit limit.
You can only make minimum payments.
You are unable to save or invest any money because you are paying off debt.
All of these are warning signs
If payments on your credit account are overdue, your account may be turned over to a
Foreclosure agent
Collection agency
Banker
Bankruptcy lawyer
The following people/organizations can request to see your credit report except
Employer, as long as you sign an authorization
Landlord
Lender
Your Boss
The Fair Credit and Reporting Act entitles you to
Free credit report every 12 months from each Equifax, Experian, and Transunion
Only 1 free credit report every 12 months, you choose which agency you want the report from. Equifax, Experian, or Transunion
Only a free credit report if you suspect identity theft
No free credit reports you have to pay for them
Heather receives a phone call, in which an automated voice state that her credit card has been used fraudulently and that she must enter her 16 digit credit card number, using they keypad of her phone, to clear up the error. What should Heather do next?
Push "0" or say "Operator" to speak with a representative from the credit card company instead
Enter the 16-digit card number, but don't enter her PIN or the 3-digit code from the back of the card
Follow the instructions immediately, as the longer the fraudulent charge stays on her credit card statement, the harder it will be to remove
Hang up and call her credit card company using the 1-800 number on the back of her card to inquire about the issue or report the attempted phone fraud
Your teacher tells you the importance of checking your credit report. Which government -run website allows you to download your credit report for free on an annual basis?
creditkarma.com
freecreditreport.com
getcreditreportshere.com
annualcreditreport.com
which group in NOT likely to be interested in looking at your credit score?
Employers
Credit card companies
Auto insurance
online savings account
I forgot to pay my credit card bill one month. How long will that payment information show up on my credit report?
Once I make the payment, it will disappear
One year
seven years
ten years
You find an error on your credit report. Your credit card account indicates that you are 60 days late on your payment but your bank records indicate that you have always made on-time payments. What should you do FIRST?
Contact the credit card company to have them fix it
contact the credit reporting agency
wait a few weeks to see if it gets resolved
call the police to report possible identity theft
What is the best advice to prevent Identity theft?
if you check your three credit reports every year, it's almost impossible to become the victim of identity theft
avoid buying anything online, at that's how 90% of identity theft occurs
Be careful with your credit and bank account numbers, create good passwords, and beware of phishing emails
use a debit card instead of credit card whenever possible
You should avoid filing bankruptcy at all cost.
true
false (That means the above statement is wrong.)
Which types of debt usually CANNOT be erased or reduced?
Federal student loans
Credit card debt
Medical bills
None of these types of debt can be erased or reduced
