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Credit Card

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

Someone who's in debt someone else money.

a)

lends

b)

owes

2.

It may be very hard to get a loan if you have a .

a)

poor credit score

b)

small bank balance

3.

On a credit card bill, the is the least amount of money you must pay.

a)

available credit

b)

minimum payment due

4.

Always check your credit card to make sure that you're not being overcharged.

a)

payment

b)

statement

5.

When you purchase something with a credit card, you .

a)

automatically improve your credit score

b)

buy it now and promise to pay for it later

c)

pay for it now but receive it later

d)

decrease your debt

6.

If you have good credit, you .

a)

will never have to borrow money

b)

have never paid back money you owe on time

c)

are more likely to be denied a loan

d)

have a history of paying back money you owe on time

7.

What is a minimum monthly payment?

a)

the minimum annual percentage rate on credit card

b)

the minimum amount on your credit card bill you need to pay each month

c)

the minimum you must purchase with your credit card each month

d)

the minimum interest you rack up each month

8.

Which of the following is a FALSE statement?

a)

Bad credit can make it hard for you to borrow money

b)

Some credit cards come with low introductory costs

c)

The interest you owe can never be more than your original purchase with a credit card

d)

If you pay only the minimum monthly payment, your debt can add up quickly

9.

Billy has bad credit. He likely .

a)

always paid his whole credit card bill on time

b)

doesn't have a credit card and has never borrowed money

c)

will be able to make a large purchase, like a car

d)

will have no hard time getting approved for loans

10.

Cynthia hasn't established any credit at all. Which of the following is TRUE?

a)

She has a high chances of getting approved for loans

b)

She will always owe interest on her credit card bill

c)

She will have an easy time buying her first home

d)

Banks won't know if she's financially reliable

11.

Kimberly pays her entire balance every month. She .

a)

never owes interest on her purchases

b)

never has a principal of $0

c)

likely has bad credit

d)

pays more than 100% in interest on her purchases

12.

Jonas is still paying off a purchase he made many months ago. This is most likely because .

a)

Jonas only makes the minimum payment every month

b)

his credit card company is tricking him

c)

Jonas pays his entire balance every month

d)

his APR is 0%