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Hutchison EPF Unit 5 Test

Total questions: 18

Worksheet time: 9mins

Name
Class
Date
1.

A key factor influencing credit scores is:

a)

Recent inquiries

b)

Monthly expenses

c)

Martial status

d)

Education level

2.

All of the following are part of a credit report EXCEPT:

a)

Spending Habits

b)

Loan Repayment

c)

Credit Limit Utilization

d)

Current Credit Inquiries

3.

Failing to pay federal student loans may result in:

a)

Reduced student loan interest

b)

Higher credit score

c)

Tax refund garnishments

d)

Revocation of your degree

4.

Which of the following is TRUE about a credit report?

a)

It is a complete history of one type of credit you have

b)

Credit reports are maintained by the 5 main credit bureaus

c)

You can get a copy of your credit report for free

d)

You can get a credit report only when you're 21 years old

5.

Which of the following does NOT contribute to your credit score?

a)

Your payment history

b)

Which banks issued your credit cards

c)

Your debt-to-credit ratio

d)

Length of credit history

6.

Which of the following is TRUE about finding errors on your credit report?

a)

You may have to file a dispute with each credit bureau

b)

You should wait until the end of the month before reporting

c)

Finding errors is common & is not a big deal

d)

Overlooked errors may result in you paying a fine

7.

How often should you check your credit report for errors?

a)

Only when applying for a major loan

b)

Once a decade

c)

At least once a year

d)

Every month

8.

Where can you get a free copy of your credit report?

a)

annualcreditreport.com

b)

freecreditreport.com

c)

getmycreditreport.com

d)

creditreport.gov

9.

Which types of debt usually CANNOT be erased or reduced?

a)

Federal student loans

b)

Credit card debt

c)

Medical bills

d)

None of these types of debt can be erased or reduced

10.

How long does a bankruptcy typically remain on a credit report?

a)

3-5 years

b)

7-10 years

c)

12-15 years

d)

Indefinitely

11.

The cost you pay each year to borrow money, including fees, expressed as a percentage

a)

APR

b)

Taxes

c)

IRS

d)

Bank Fee

12.

A legal proceeding carried out to allow individuals or businesses freedom from their debts, while simultaneously providing creditors an opportunity for repayment

a)

Bankruptcy

b)

Trial

c)

Summons

d)

Money Divorce

13.

An attempted recovery of a past-due credit obligation or debt by a collection department or agency

a)

Collections

b)

Repo Man

c)

Bank teller

d)

Loan Payment

14.

The most commonly used credit score

a)

FICO Score

b)

Social security Number

c)

Home Address

d)

Date of Birth

15.

A history of the payments you have made on all credit you have obtained; 35% of your credit score is based on this

a)

Credit History

b)

Default

c)

Collections

d)

Interest paid

16.

The taking back of property after a borrower has defaulted on payments

a)

Gift

b)

Repossessions

c)

Default loan

d)

Bankruptcy

17.

A legal claim by a government entity to take an individual's property or income when their taxes are not paid in full

a)

Tax Lien

b)

Student Loan

c)

Personal Loan

d)

Car Loan

18.

Money set aside for unanticipated expenses or loss of income

a)

Emergency Fund

b)

Savings

c)

Checking

d)

Piggy Bank