WorksheetsCredit and Loans Quiz
Total questions: 19
Worksheet time: 10mins
What is the term for the ability to borrow money or access goods or services with the understanding that you'll pay later?
Collateral
Credit
Principal
Cosigner
Who is the person or entity that lends money or extends credit?
Debtor
Creditor
Cosigner
Principal
What is the term for a person who owes money?
Creditor
Debtor
Cosigner
Collateral
What type of credit is used by individuals for personal needs?
Consumer Credit
Secured Credit
Unsecured Credit
Line of Credit
What is a legally binding agreement between two or more parties?
Credit
Contract
Collateral
Credit Report
What clause allows a lender to demand full repayment if certain conditions are not met?
Finance Charge
Acceleration Clause
Credit Report
Credit Score
What type of credit is repaid in equal payments over a specified period?
Open-end Credit
Installment Loan
Line of Credit
Unsecured Credit
What is the initial payment made when something is bought on credit?
Principal
Down Payment
Collateral
Finance Charge
What is the original sum of money borrowed in a loan?
Credit
Principal
Collateral
Credit Score
What is an asset pledged by a borrower to secure a loan?
Credit
Collateral
Principal
Cosigner
What type of credit requires collateral?
Secured Credit
Unsecured Credit
Open-end Credit
Line of Credit
What is the cost of borrowing money, typically expressed as an annual percentage rate?
Credit Score
Finance Charge
Principal
Collateral
What type of credit account allows repeated borrowing up to a certain limit?
Closed-end Credit
Open-end Credit Account
Installment Loan
Secured Credit
What is a credit arrangement without collateral?
Secured Credit
Unsecured Credit
Line of Credit
Installment Loan
Who is a person that agrees to repay a loan if the borrower does not?
Creditor
Debtor
Cosigner
Principal
Credit is _____
money you are given, and promise to pay back later.
money you borrow and promise to pay back later.
money you borrow and don't have to pay back later.
None of the above.
Credit allows for purchases without cash.
True
False
Credit is free
True
False
An arrangement to receive cash, goods, or services now and pay for them in the future.
Credit
Asset
Interest
APR
