Worksheetscredit card
Total questions: 36
Worksheet time: 30mins
It may be very hard to get a loan if you have a .
poor credit score
small bank balance
On a credit card bill, the is the least amount of money you must pay.
available credit
minimum payment due
When you purchase something with a credit card, you .
automatically improve your credit score
buy it now and promise to pay for it later
pay for it now but receive it later
decrease your debt
If you have good credit, you .
will never have to borrow money
have never paid back money you owe on time
are more likely to be denied a loan
have a history of paying back money you owe on time
What is a minimum monthly payment?
the minimum annual percentage rate on credit card
the minimum amount on your credit card bill you need to pay each month
the minimum you must purchase with your credit card each month
the minimum interest you rack up each month
Billy has bad credit. He likely .
always paid his whole credit card bill on time
doesn't have a credit card and has never borrowed money
will be able to make a large purchase, like a car
will have no hard time getting approved for loans
Cynthia hasn't established any credit at all. Which of the following is TRUE?
She has a high chances of getting approved for loans
She will always owe interest on her credit card bill
She will have an easy time buying her first home
Banks won't know if she's financially reliable
Kimberly pays her entire balance every month. She .
never owes interest on her purchases
never has a principal of $0
likely has bad credit
pays more than 100% in interest on her purchases
Jonas is still paying off a purchase he made many months ago. This is most likely because .
Jonas only makes the minimum payment every month
his credit card company is tricking him
Jonas pays his entire balance every month
his APR is 0%
In Month 1 of this loan it accounts for $1,041.50 of the payment. In Month 350, the debtor only need to pay 59.60 towards this amount. The cost of borrowing money is referred to as _______________.
Interest
Annual Percentage Rate
Credit
Credit Line
The amount charged if your payment is received after the billing due date.
late payment fee
overdue fee
withdrawal fee
loser fee
The maximum amount you are allowed to carry as a balance on the card
interest
ARP
credit limit
all of these
Which one is considered a danger of using a credit card
no cash needed
leads to overspending
convenient
earns rewards
Your credit score is not configured off of which of the following:
Payment history
Amount owed
Where you live
Length of credit history
To build a good credit history, you should
open as much credit as possible quickly
use the maximum credit allowed on all your credit cards
pay on time and as much of your balance as possible
all of these
Another name for the amount of money borrowed at the start of loan.
lien
collateral
interest
principal
Annual Percentage Rate (APR)
allows the user to directly withdraw from the checking account for the purchase.
allows the user to charge for the purchase now and pay later
the maximum amount of credit the cardholder is allowed to borrow or owe; sometimes known as Credit Line.
the yearly interest rate at which the debt is charged.
same as a credit card but can only be used at the specific retailer who offers the credit.
What is the difference between a Credit and Debit Card?
One is dangerous and one is safe.
One is small and one is big.
One is green and one is blue.
One is for paying now, and one is for paying later.
How do banks make money from you?
They give you everything Free!
They pay you one Million Dollars!
They charge Interest and other fees.
They Steal it!
The bank uses a ... to find out how prospective borrowers repaid their past debts.
profile
loan agreement
credit bureau
budget
What is 33% of 300
9.9
9900
99
0.33
What is an annual fee?
The act of transferring money
A fee charged by a card issuer for being a card holder.
The days between the last statement and the current statement.
A fee charged to a cardholder's account once a payment is late.
What should you never do?
cancel your oldest credit card
cancel your youngest credit card
ask to increase your credit limit
pay your credit balance in full
Interest rate =5%
Time = 5 years
What is the interest earned?
