Credit and Borrowing Post-Assessment

Cash is (a)   .

• money you'll borrow

• money you'll pay back later

• money you have today

• money you don't have

Credit is (a)   .

• money you are given and promise to pay back later

• money you borrow and promise to pay back later

• money you borrow and don't have to pay back later

• None of the above

A debt is (a)   .

• money you have to pay back

• money you don't have to pay back

• money used for needs, not wants

• money used for wants, not needs

Why is a credit card a type of debt?

• Credit cards are only used in stores and not between friends.

• Credit card companies charge a small fee to use them.

• Using a credit card is borrowing money that needs to be paid back later.

• Using a credit card allows you to earn points and rewards.

Which of the following is not true about credit cards?

• Credit cards are only used in stores and not between friends.

• Credit card companies charge a small fee to use them.

• Using a credit card is borrowing money that needs to be paid back later.

• Using a credit card allows you to earn points and rewards.

Using cash is a good idea for _____

• buying small items you can afford now

• buying items on sale

• buying things you can't afford

• buying items now to pay back later

When is using a credit card a good idea?

• You want something now that you can't afford ever.

• You have the money to buy what you need now.

You should not use a credit card when (a)   .

• you want something now that you will never be able to afford

• you need something now but can't pay for it yet

• you have made a monthly budget

• you have just started a new job

A credit history is (a)   .

• the first step in creating a budget

• a record of money you spend

• a record of how you pay back money you borrow

• the same thing as a bank statement

When your credit history is good, (a)   . A) it's easier to spend your money B) other people are more likely to lend you money C) it's easier to budget your money D) you can get a better job

• it's easier to spend your money

• other people are more likely to lend you money

• it's easier to budget your money

• you can get a better job