WorksheetsFinance and Credit Quiz
Total questions: 20
Worksheet time: 10mins
What is an acceleration clause?
A fee for paying off a loan early
A rule limiting how much you can borrow
A contract provision allowing full repayment if the borrower defaults
A type of secured loan
What is bankruptcy?
A type of savings plan
A legal process to eliminate or repay debt
A credit score range
A loan agreement
Which type of bankruptcy eliminates most unsecured debts?
Chapter 11
Chapter 12
Chapter 7
Chapter 13
Which bankruptcy involves a 3–5 year repayment plan?
Chapter 7
Chapter 9
Chapter 11
Chapter 13
What is a cash advance?
A refund from a credit card
Cash borrowed using a credit card
A loan with no interest
A paycheck bonus
Closed-end credit is best described as:
Credit that can be reused repeatedly
A loan with a fixed amount and fixed payments
Credit with no limit
Credit backed by collateral only
What is collateral?
Interest charged on a loan
Property pledged to secure a loan
A credit score factor
A monthly payment
A collection agency exists to:
Issue new credit
Track credit scores
Collect unpaid debts
Approve loans
Consumer credit is used to:
Fund business expenses
Buy personal goods and services
Purchase stocks
Pay taxes
A contract is:
A suggestion
A legally binding agreement
A credit report
A budget plan
What is a cosigner?
A lender employee
Someone who guarantees repayment if the borrower fails
A debt collector
A credit counselor
What does a credit bureau do?
Lends money
Sets interest rates
Collects and stores credit information
Approves bankruptcies
Credit counseling helps consumers:
Increase spending
Avoid credit reports
Manage debt and repayment plans
Open new credit cards
Credit fraud involves:
Missing payments
Identity theft or unauthorized use of information
High interest rates
Too many credit cards
Credit history shows:
Current income
Borrowing and repayment behavior
Monthly expenses
Net worth
A credit rating is an evaluation of:
Income level
Spending habits
Creditworthiness
Savings rate
A credit report is:
A single number
A detailed record of credit activity
A loan contract
A payment schedule
A credit score is:
A type of loan
A repayment plan
A numerical measure of credit risk
A finance charge
Being creditworthy means:
Avoiding credit
Likely to repay borrowed money
Having no debt
Using cash only
Debt is:
Money saved
Money owed
Interest earned
A credit score
