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Unit 3 Review #3

Total questions: 11

Worksheet time: 5mins

Name
Class
Date
1.

Which action is LEAST important to maintaining a healthy credit scores?

a)

Check your credit report annually

b)

Fix inaccurate information on your credit report

c)

Know your exact credit score

d)

Make on-time payments

2.

Annual Percentage Rate (APR) is the way of stating the interest rate you will pay if you carry over a balance, take out a cash advance, or transfer a balance from another card.

a)

True

b)

False

3.

The yearly charge for credit card ownership is called a balance transfer fee.

a)

True

b)

False

4.

Which of the following is the time allowed before finance charges are applied?

a)

Insterest term

b)

Grace period

c)

Annual period

d)

Term

5.

The annual percentage rate on a credit card determines _____.

a)

How many credit cards you can own

b)

The amount your credit limit can go up within a year

c)

The amount of interest you are charged on credit card purchases

d)

None of the options

6.

What is a credit limit?

a)

How many credit cards you can own

b)

The amount of interest you are charged each month

c)

The required payment to your credit card company

d)

The maximum amount you can charge each billing cycle

7.

Which of the following can increase your credit card’s APR?

a)

Paying the minimum

b)

Paying off the full balance

c)

Cashing in on rewards points

d)

Missing a credit card payment by 60+ days

8.

Which of the following is a safety tip you should use when using credit cards?

a)

Do not let anyone borrow your card

b)

Report lost or stolen cards promptly

c)

Sign your card right away with a signature and “Please see ID”

d)

All of the options

9.

Which of the following is NOT a common credit card fee?

a)

Balance transfer fee

b)

Late payment fee

c)

Minimum payment fee

d)

Annual membership fee

10.

Which of the following tells you how much your credit card interest will be if you only pay the minimum balance each month?

a)

Annual Percentage Rate

b)

Annual Percentage Yield

c)

Balance Transfer Fee

d)

Annual Membership Fee

11.

Which payment method typically charges the highest interest rates?

a)

Pre-paid cards

b)

Cashier's checks

c)

Debit cards

d)

Credit cards