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WorksheetsCredit Records and Laws (FL8)
Total questions: 32
Worksheet time: 16mins
Everyone who applies for credit is approved.
True
False
Credit guard services are a great value because they are inexpensive and provide services that you cannot do for yourself.
True
False
Which law requires creditors to investigate and resolve billing errors?
Fair Credit Reporting Act
Fair Credit Billing Act
Equal Credit Opportunity Act
Consumer Credit Protection Act
What is the most likely outcome if someone steals your identity and open a credit card in your name?
Your credit score will increase because credit is being used in your name.
You will not be able to open a credit card because there is already one under your name.
Your credit score will decrease because the identity thief isn't paying the credit card debt.
You will be arrested for credit fraud.
Property pledged to assure repayment of a loan
character
capacity
capital
collateral
The complete record of your borrowing and repayment performance
credit report
credit bureau
credit check
credit history
Information from public records becomes part of your credit report.
True
False
How much does a credit guard service cost?
Free
$5-10 per month
$15-50 per month
$15-50 per year
Which law prohibits creditors from denying credit to someone based solely on their religion?
Fair Credit Billing Act
Equal Credit Opportunity Act
Truth in Lending Law
Fair Debt Collection Practices Act
The account details section of a credit report shows the monthly balances of all of the consumer's credit accounts.
True
False
A person or company hired by a creditor to collect the overdue balance of an account
banker
debt collector
repossession officer
loan shark
A request to credit bureaus to deny all access to credit information in your credit file
credit guard
credit prohibition
credit freeze
credit history
Who issues credit reports?
banks
credit unions
credit bureaus
brokers
Business who provide details of current credit customers to credit bureaus in exchange for credit reports
subscribers
retailers
subsidiaries
account holders
Which of the following might be included in your credit report?
your outstand student loan information
your pending divorce
your overdue tax bill
All answers are correct.
The financial ability to repay a loan with present income
capital
capacity
collateral
character
A responsible attitude toward honoring your financial obligations
character
capacity
conditions
capital
You lose your credit card and report it to the credit card company. Someone finds your credit card and charges $500. How much will you owe to your credit card company?
$0
$50
$100
$500
People who usually pay bills within the grace period, but occasionally make late payments are most likely going to have
poor credit.
fair credit.
good credit.
excellent credit.
Which is NOT a credit bureau?
TransUnion
Experian
Equifax
They are all credit bureaus.
How much does it cost to see your credit report?
It costs around $15 each time you want to see your credit report.
It's always free to see your credit report.
It's free once a year from each bureau. You can pay to see it more often.
You can't see your own credit report.
Where do credit bureaus gather information for credit reports?
from subscribers
from public records
from credit applications
All answers are correct.
Establishing a good credit record can be done very quickly.
True
False
You can ruin your credit score very quickly.
True
False
Which is NOT one of the five C's of creditworthiness?
conditions
consideration
capital
character
Which category is given the most weight when calculating a credit score?
length of credit history
payment history
amounts owed
types of credit used
How long does most information remain on your credit report?
1 year
5 years
7 years
10 years
How long does bankruptcy information remain on your credit report?
1 year
5 years
7 years
10 years
Which law requires lenders to disclose all costs of credit such the finance charge and annual percentage rate in writing?
Consumer Credit Protection Act
Fair Credit Reporting Act
Fair Credit Billing Act
Equal Credit Opportunity Act
Which step should you take first when you start establishing credit?
open a credit card
get a car loan
take out a small personal loan
open a checking account
What is the best FICO score that someone can earn?
350
800
850
900
Credit reports might be requested by
a bank where you have applied for a loan.
a utility company when you move into a new apartment.
an employer when you apply for a new job.
All answers are correct.
