Presentation is loading. Please wait.

Presentation is loading. Please wait.

Credit & Identity Theft Test Financial Literacy. Question 1 The maximum amount you can charge on a credit card is called the A.Credit limit B.Capacity.

Similar presentations


Presentation on theme: "Credit & Identity Theft Test Financial Literacy. Question 1 The maximum amount you can charge on a credit card is called the A.Credit limit B.Capacity."— Presentation transcript:

1 Credit & Identity Theft Test Financial Literacy

2 Question 1 The maximum amount you can charge on a credit card is called the A.Credit limit B.Capacity C.Collateral for the card D.Credit ratio

3 Question 2 Which of the following is a good reason to use a credit card? A.Expensive way to borrow due to high interest rates B.Less to spend in the future due to paying off purchases from the past C.Responsible use can help establish good credit history D.Higher risk for impulsive buying and

4 Question 3 Which is not a type of credit? A.Car loan B.Car registration C.Gas company card D.House mortgage

5 Question 4 - Together Question 4 -Together Suki wants to move into her own apartment after graduating from high school, but she is worried that she won’t be able to rent an apartment without significant credit history. What can Suki do to start using credit wisely? A.Rent an apartment with a friend who will B.Apply for a store credit card C.Apply for several major credit cards D.Close her checking account to avoid bouncing a check

6 Question 5 Which of the following agencies provide free credit reports for consumers? A.Equifax, credit unions, landlords B.Credit unions, banks, loan officers C.Experian, credit Reporters Universities D.Trans Union, Experian, Equifax

7 Question 6 Which of the following can impact your credit rating? A.Borrowing money from a friend to pay for lunch B.Living with you parents until you earn enough money to afford to rent an apartment C.Paying cash for a used car D.Making a late car loan payment

8 Question 7 What is credit? A.An arrangement to receive cash, goods, or services now and pay for them in the future. B.A fee for borrowed money. C.The maximum amount of money that can be charged to a credit card D.A plastic card that holds pre-approved credit.

9 Question 8 If an individual uses credit and does not pay the required amount by the due date, they are charged a(n): A.Minimum payment B.Late payment fee C.Annual Percentage rate D.Annual fee

10 Question 9 - Together If a credit card is lost or stolen and reported within 48 hours, how much is the owner liable for if the card was used illegally before the credit card company was notified of the loss? A.$100 B.$75 C.$50 D.$25

11 Question 10 - Together A loan to be repaid in a certain number of payments with a certain interest rate is a: A.Installment loan B.Revolving credit C.Unsecured loan D.Collateral

12 Question 11 Where must the terms and conditions of credit cards be posted according to the Federal Truth in Lending Act? A.On the back of the credit card B.In the Schumer Box C.On the Credit Card’s website only D.They do not need to be posted

13 Question 12 When reviewing a credit card bill, which amount must be paid each month? A.New balance B.Minimum payment due C.Finance charge D.Grace period

14 Question 13 A credit report could be characterized as: A.A record of a consumer’s credit history B.A record of reports the consumer has written C.A report not used by lenders to determine credit history D.A report including personal medical information

15 Question 14 What information is included in an individual’s credit history? A.Current and past addresses B.Criminal records C.Employment history D.All of the above

16 Question 15 Give two advantages of a credit card:

17 Question 16 Give two disadvantages of a credit card:

18 Question 17 What is the range of credit scores? A B C D

19 Question 18 Bank credit cards are only good for the specific bank where they were issued. ◦ True ◦ False

20 Question 19 The APR is the interest rate. ◦ True ◦ False

21 Question 20 Minimum finance charge and minimum payment due both mean the minimum amount charged for card use. ◦ True ◦ False

22 Question 21 The maximum amount of charges allowed to an account is known as A.Credit line B.New Balance C.Finance Charge D.APR

23 Question 22 Yearly charges for credit card ownership is known as A.Annual fees B.Balance calculation method C.APR D.Finance Charge

24 Question 23 All balance calculation methods are the same, with interest added to all purchases and a grace period. ◦ True ◦ False


Download ppt "Credit & Identity Theft Test Financial Literacy. Question 1 The maximum amount you can charge on a credit card is called the A.Credit limit B.Capacity."

Similar presentations


Ads by Google