WorksheetsManaging Credit and Identity Theft Bank
Total questions: 60
Worksheet time: 25mins
What are the long-term negative effects of identity theft? (hint: choose 2 correct answers)
Inability to access and use your bank account
A poor credit score
Extremely time consuming to fix the problem
You will likely lose your job
Which is NOT one of the three main credit reporting agencies?
Experian
Equifax
Vanguard
Transunion
A credit freeze...(hint: choose 2 correct answers)
Allows you to restrict access to your credit report
Can only last for 30 days
Is always a free service
Does not affect your credit score
Which is NOT a form of identity theft?
New Account Fraud
Medical Identity Theft
Account Takeover Fraud
Software Installation Fraud
What can you do to protect your identity online? (hint: choose 3 correct answers)
Always use the same password for every account
Create a unique password with special characters
Be cautious of personal information you are sharing online
Shop only on a secure site
What does EMV stand for?
Every Machine Valid
Europay, Mastercard, Visa
Equity, Money, Validity
Euro, Monetary, Visa
How does the chip card provide protection from identity theft?
It requires you to sign for every purchase made
The processing time takes longer
It generates a one-time code for every transaction
The transaction is through a 3rd party check for ID theft
The first thing you should do if you are a victim of identity theft is
Call the police
File an initial fraud alert
Contact your bank
File an identity theft report
What is 2 Factor Authentication?
Requires you to enter your password twice to enter a website
Does not provide protection against identity theft
Sends a secondary one-time password to an external device
Requires the card's CVC code for every transaction
Getting sensitive information by disguising as a trustworthy entity in electronic communication
Investment scam
Pyramid Schemes
Banking scam
Phishing scam
Which of the following passwords is the most secure?
03011999 - it's my birthday
password - easy to remember
Football2018 - a combination of letters & numbers
#mhalll+1! - a combination of letters, numbers, & characters
At what website can you report an instance of identity theft?
reportmyidentitytheft.com
getbackyouridentity.gov
annualcreditreport.com
identitytheft.gov
Why is it important to act fast if you suspect you are a victim of identity theft? (hint: choose 2 correct answers)
The longer you wait, the more potential problems to fix
There is a 7 day window to report identity theft
With more time, the ID thief has more time to cheat you
There is a fee if reported later than 30 days
An extended fraud alert is good for
One year
Five years
Seven years
Ten years
True or False: A credit freeze is the same as a fraud alert.
True
False
Which is a warning sign that someone is using your information? (hint: choose 3 correct answers)
You find credit card charges you did not make
You get bills for medical services you did not use
Debt collectors call about debts that are not yours
Debit card transactions are taking a long time to process
Which government agency oversees & provides information on identity theft?
Federal Communications Commission
Department of the Treasury
Federal Trade Commission
None
Identitytheft.gov helps you recover from identity theft by
Checking your credit score
Creating a recovery plan just for you
Getting a free copy of your credit report
Contacting your local police department
What is a reasonable way to protect yourself from identity theft? (hint: choose 3 correct answers)
Know the signs of phishing
Always pay cash; never use a debit or credit card
Strengthen your passwords
Check your credit report often
The government authorized site to check your credit report is
Freecreditreport.com
Annualcreditreport.com
Creditreport.gov
Equifax.com
Which of the following situations is an example of responsibly taking on debt?
Get a credit card but don't use it to avoid more debt
Spend up to your credit limit each month
Become an authorized user on an adult's card
Make only the minimum payment each month
How can you build a positive credit history as a college student?
Get a credit card but don't use it to avoid more debt
Spend up to your credit limit each month
Become an authorized user on an adult's card
Make only the minimum payment each month
Your net worth...(hint: choose 2 correct answers)
is what you owe minus what you own
is your assets - your liabilities
is your liabilities - your assets
is what you own minus what you owe
T/F: A negative credit event (bankruptcy) can have a WORSE impact on a higher credit score.
True
False
Which of the following is TRUE about a credit report?
It is a complete history of one type of credit you have
Credit reports are maintained by the 5 main credit bureaus
You can get a copy of your credit report for free
You can get a credit report only when you're 21 years old
Which of the following does NOT contribute to your credit score?
Your payment history
Which banks issued your credit cards
Your debt-to-credit ratio
Length of credit history
All of the following are benefits of having a good credit score EXCEPT...(hint: choose 2 correct answers)
You can get a higher return on your Retirement fund
Higher interest rate on credit cards and loans
Easier approval for rental apartments and houses
Better car insurance rates Better car insurance rates
Which of the following is TRUE about finding errors on your credit report?
You may have to file a dispute with each credit bureau
You should wait until the end of the month before reporting
Finding errors is common & is not a big deal
Overlooked errors may result in you paying a fine
Aisha wants to improve her credit utilization rate. Which of the following can she do? (hint: choose 2 correct answers)
Make several payments in the month instead of a large one
Spread her spending among her 3 credit cards
Keep her credit utilization rate to 55%
Keep her spending all to 1 card; don't use the other 2
Why might someone have a thin file? (hint: choose 2 correct answers)
They've had multiple lines of credit open for 15 years
They only have 4 types of credit open
The credit bureaus mistakenly think you have passed away
You are relatively new to establishing credit
How are a credit score and credit report related?
A credit report is determined by the factors in your score
A credit score is determined by the factors in your report
Credit reports are less important than your credit score
They're not related at all
Where can you get a free copy of your credit report?
annualcreditreport.com
freecreditreport.com
getmycreditreport.com
creditreport.gov
Q13:Using the debt snowball method, you make...
minimum payments on all of your loans
one large payment on one loan
minimum payments on small loans; pay extra on large loans
minimum payments on large loans; pay extra on small loans
How can having a thin file impact you?
You are likely to get lower interest rates on your loans
You may be offered new lines of credit in the mail
Lenders may decline your application for a loan
Most landlords will approve you to rent an apartment or home
Using the High Rate Method, you...
pay off all your loans in the least amount of time
put extra money towards loans with the lowest interest rate
put extra money towards loans with the highest interest rate
make one large payment on the loan with the highest rate
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
What can debt collectors do if you don't make payments towards your loans?
Have you arrested if you owe money
They can try contacting you at work
Call you between 8am-9pm to talk to you about your loans
Reach out to your friends about the debt you owe
What information can you find on a credit report?
Your medical insurance information
Your parents' and siblings' contact information
Your education level
Inquiries you've made on new lines of credit
All of the following may access your credit report EXCEPT...
A landlord
A future employer
Colleges and universities
Insurance companies Insurance companies
Jim is 23 and has 1 credit card. What would be the best way to improve his credit score? (hint: choose 2 correct answers)
Get 4 more credit cards in the next 3 months
Diversify his credit - get an loan for the car he needs
Make sure he makes his payments in full & on time
Increase his credit utilization rate
How often should the average person check their credit report?
daily
monthly
yearly
every 5 years
T / F: The safest passwords include a word found in the dictionary with various numbers and symbols.
True
False
This is when someone steals your information over email
Phishing
Vishing
Skimming
Dumpster Diving
This is when someone tries to steal your information by going through your garbage
Phishing
Dumpster diving
Skimming
Pretexting
You should keep a list of all account numbers and phone numbers in a secure location.
True
False
If a company calls and asks for your PIN number, you should give it to them
True
False
A PIN number stands for
personalized interest note
prized identification number
personal information note
personal identification number
Your identify was stolen! What is the first thing you should do?
contact the credit bureau
notify all account holders
file an identity theft report with the police
steal someone else's identity
How long will a negative credit action usually remain on a credit report?
4 years
11 years
7 years
15 years
What is included under credit history on a credit report?
Date of birth
Late payments
Late payments can help create a high credit score
True
False
A person, or a financial institution that lends money, and in return charges interest?
Borrower
Lender
Which information would NOT appear on your credit report?
Credit Card balance
Car loan
Mortgage
Debit Card balance
The bank uses a ... to find out how prospective borrowers repaid their past debts.
profile
loan agreement
credit bureau
budget
Which of the following is one of the 3 nationally recognized credit bureaus?
Equifax
Federal Reserve
Postal Credit
TripleUnion
