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WorksheetsCredit and Credit Cards Unit
Total questions: 26
Worksheet time: 17mins
Which term represents interest and all
other fees added on to credit purchases?
annual fee
annual percentage rate
introductory rate
finance charges
What fee will you pay if you go over
your credit limit?
minimum payment fee
over-the-limit fee
introductory rate
grace period fee
The highest amount that can be
charged to your credit account is called?
credit limit
free period limit
minimum payment limit
APR limit
What is the annual interest rate you’ll
be charged if you carry a balance?
introductory rate
over-the-limit rate
credit agency rate
annual percentage rate
Introductory rates are also known as
what?
a. minimum payments
b. teaser rates
c. annual percentage rates
d. annual fee rates
minimum payments
teaser rates
annual percentage rates
annual fee rates
The least amount of money required to
be paid each month is called what?
grace period payment fee
credit score fee
minimum payment
maximum payment
Which of the following is an advantage
of using credit?
interest and fees
purchasing power
finance charges
overspending
What term means how trusted you are
to repay borrowed money?
open-end credit
credit risk
creditworthiness
FICO
Which of these is nota part of your
credit score?
length of credit history
payment history
total amount that you owe
high school grades
If you have a good credit score, you are
more likely to be offered:
a job over another candidate
loans with better terms
low rates on car insurance
all the choices
An agreement to receive a servicenow
and pay for it later
service credit
open-end credit
closed-end credit
credit report
After paying off the balance, which type
of credit remains open to be used again?
open-end credit
service credit
closed-end credit
finance charged credit
Having good credit means you are a low-risk borrower
True
False
A credit score is also known as a FICO score.
True
False
Creating many new credit accounts will improve your credit score.
True
False
Your credit score is a point value of how well you have handled
credit in the past, and how you may handle credit in the future.
True
False
Each of the credit agencies use a different formula scoring
model, so you might have three different credit scores.
True
False
Once your credit score is calculated, there is nothing you can do to change it.
True
False
Match the followingThe annual interest rate you will be charged if you
carry a balance on your credit card.
(a)
A type of credit that can be used repeatedly with
the option of paying the balance in full or making monthly payments.
(a)
Financial information compiled into a report that
describes your credit history and financial responsibility.
(a)
An organization that maintains files on consumers’
credit histories and financial responsibilities and prepares their credit scores.
(a)
Money borrowed to buy something now with the
understanding that the money will be paid back in the future.
(a)
A three-digit number rating a consumer as a credit
risk; A measure or “grade” of creditworthiness.
(a)
Extra money in the form of fees and interest that a
consumer pays in addition to the amount they borrowed.
(a)
The highest amount of money that can be charged on a credit card account.
(a)
