Managing Credit - #1

What term describes the total debt obligations that an individual or entity must repay?

• Collections

• Amounts owed

• Charge-off

• Bankruptcy

Which percentage represents the total yearly cost of borrowing, including fees and interest charges?

• Buy borrow and die strategy

• Chapter 7 bankruptcy

• Annual percentage rate

• Collections

What status allows someone to use another person's credit card with permission but without legal responsibility for payments?

• Authorized user

• Consumer financial protection bureau

• Chapter 13 bankruptcy

• Collections

Which term describes a federal agency created to protect consumers in financial markets?

• Chapter 7 bankruptcy

• Collections

• Charge-off

• Consumer financial protection bureau

What strategy involves borrowing against assets rather than selling them to minimize tax implications?

• Buy borrow and die strategy

• Bankruptcy

• Collections

• Charge-off

Which type of bankruptcy involves liquidation of assets to pay creditors?

• Collections

• Chapter 7 bankruptcy

• Authorized user

• Annual percentage rate

What type of bankruptcy allows individuals to restructure their debts and make payments over time?

• Amounts owed

• Authorized user

• Chapter 13 bankruptcy

• Buy borrow and die strategy

What term describes when a creditor declares a debt as unlikely to be collected?

• Annual percentage rate

• Collections

• Authorized user

• Charge-off

Which legal process provides relief from debts when an individual or business cannot repay them?

• Collections

• Charge-off

• Bankruptcy

• Annual percentage rate

What term describes the process of attempting to recover unpaid debts?

• Chapter 13 bankruptcy

• Collections

• Buy borrow and die strategy

• Authorized user