B285 Credit

If you are denied credit

• you have to figure out why

• you should go to another creditor as you will likely get approved

• you should just cry

• the creditor will let you know why

The relationship between the loan term and cost of the loan (aka interest) is

• direct relationship as the longer the loan term, the more interest paid

• indirect relationship as the longer the loan term, the less interest is paid

• there is no relationship between loan term and the amount of interest paid

One way to establish good credit is to

• obtain as many credit cards as possible

• borrow as much money as possible

• pay your bills on time

• maximize your credit limit on all of your credit cards

When you cannot pay your car payment and the bank comes and take your car, this is called

• mean

• unfair

• illegal

• repossession

This is a loan with a high interest rate that is given to those with low credit scores.

• interest only loan

• subprime loan

• friendly neighborhood bank loan

• prime time loan

By which law are lenders are required to provide you with all charges associated with borrowing from them (aka APR)

• Fair Credit Reporting Act

• Truth in Lending Act

• Truth in Billing Act

• Fair Credit Billing Act

FICO scoring relates to

• the C's of credit

• taxes

• absolutely nothing

• fixed income corporate options

The cosigner of the loan agrees to

• investigates your credit score

• agrees to nothing

• pay the loan if the debtor does not pay

• helps you reduce the principal amount of the loan

This type of credit allows you to carry a balance over to the next month

• installment credit

• revolving credit

• auto loan

• personal loan

If you credit card is lost or stolen, this is the maximum amount you may be liable for.

• half the amount charged

• 0

• the entire balance

• $50