WorksheetsCredit
Total questions: 48
Worksheet time: 25mins
What is debt?
Another word for death
Something, typically money, that is owed or due
A loan on which you do not have to pay interest
That which is incurred during childhood and consummated in college
What is a credit card?
The ace of diamonds
A large plastic card designed to ruin consumer's finances
A small plastic card issued by the government attached to a line of credit
A small plastic card issued by a bank and attached to a line of credit
An amount of credit extended to a borrower is known as a...?
Line of Extension
Several dollars lined up in a straight line
Available Credit
In the finance world it is referred to as a "long nose"
Which of the following is not a characteristic of an installment loan?
repaid over time
scheduled payments
accompanied by an interest rate
also known as a revolving loan
What is a credit score?
a number between 300 and 850 representing your creditworthiness
a statistical number that evaluates a consumer's creditworthiness and is based on credit history.
Often referred to as a FICO score
All of the above
What is an interest rate?
it is your level of interest about a certain topic expressed as a percentage of your total interest
The amount in terms of dollars that you have to pay back on a purchase
it is the rate at which your interest in something expires. The higher the number, the quicker your interest expires
The amount in terms of a rate or percentage that you have to pay back on an amount borrowed
What is a credit report?
A detailed report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness
A detailed report of a bank's credit history prepared by a credit expert and used by consumers in determining a bank's creditworthiness
A report which shows which credit cards are better than others
A report invented by Allan Greenspan and credited to Al Gore
The process of collecting funds that are owed and past due is called...
gathering
dollar collecting
overdrafting
collections
What is bankruptcy?
A point in time where everything a person owns has been given to charity
A legal proceeding involving a person or business that is unable to repay outstanding debts in which the debtor's assets are measured and evaluated, whereupon the assets are used to repay a portion of outstanding debt
When a bank is built on top of a volcano and the volcano erupts causing a bank(e)ruptcy
A legal proceeding involving a person or business that is more than capable of repaying outstanding debts in which all of the debtor's assets are measured and evaluated, and then given away to those in need
What is a loan term?
The amount of time a revolving line of credit can be open
The payment of income to a savings account in regular payments over a set period of time.
The period in which the loan is to be repaid, each payment broken down into individual installments
Specifically related to the black market for human organs, and typically meant as the length of time one's kidney will be used for other purposes
Which of the following is TRUE about a credit report?
It is a complete history of one type of credit you have
Credit reports are maintained by the 5 main credit bureaus
You can get a copy of your credit report for free
You can get a credit report only when you're 21 years old
Which of the following is one of the 3 nationally recognized credit bureaus?
Equifax
Federal Reserve
Postal Credit
TripleUnion
Which is an exceptional credit score?
672
555
713
813
What type of credit score is this 570?
Average
Great
Poor
Excellent
The ______ (FTC) enforces credit laws and helps consumers with credit problems.
Federal Trade Commission
Free Trade Commission
Federal Trade Council
Free Trade Council
A federal law that states that credit applications can be judged only on the basis of financial responsibility is called the ______ .
Equal Credit Opportunity Act
Fair Credit Reporting Act
Fair Credit Billing Act
Fair Debt Collection Practices Act
A federal law that allows individuals to examine and correct information used by credit reporting agencies is called the ______ .
Consumer Credit Protection Act
Fair Credit Reporting Act
Fair Credit Billing Act
Fair Debt Collection Practices Act
A federal law that requires creditors to correct billing mistakes that are brought to their attention is called the ______ .
Equal Credit Opportunity Act
Fair Credit Reporting Act
Fair Credit Billing Act
Fair Debt Collection Practices Act
A federal law that serves to regulate collection agencies is called the ______ .
Collection Protection Act
Equal Credit Opportunity Act
Consumer Credit Protection Act
Fair Debt Collection Practices Act
A key factor influencing credit scores is:
Recent inquiries
Monthly expenses
Martial status
Education level
All of the following are part of a credit report EXCEPT:
Spending Habits
Loan Repayment
Credit Limit Utilization
Current Credit Inquiries
A cosigner on a loan can help by:
Reducing monthly payments
False
Boosting approval odds
Offering collateral for the loan
Which of the following is TRUE about a credit report?
It is a complete history of one type of credit you have
Credit reports are maintained by the 5 main credit bureaus
You can get a copy of your credit report for free
You can get a credit report only when you're 21 years old
How often should you check your credit report for errors?
Only when applying for a major loan
Once a decade
At least once a year
Every month
