Credit Reports and Financial Responsibility

Luna is applying for a loan and the bank requests her credit report. What information does a credit report contain?

• A detailed record of an individual's credit history.

• A summary of daily transactions.

• A list of credit cards available in the market.

• A record of an individual's employment details.

Liam is applying for a loan to buy a new car. Who evaluates Liam's creditworthiness for loan approval?

• Lenders or credit analysts

• Credit card companies

• Insurance agents

• The Government

William is applying for a new apartment and an insurance policy. What elements can affect the approval of his rental application and the calculation of his insurance premiums?

• Credit reports

• Employment history

• Education level

• Marital status

Ava is trying to manage her finances wisely. What is the impact of keeping her credit card balance low in relation to her credit limit?

• It helps maintain a healthy credit score.

• It has no effect on your credit score.

Jackson is trying to improve his credit score. He wonders if having a variety of credit types can enhance his credit score.

• True

• False

Avery is planning to buy a new phone but decides to avoid impulse purchases. What is the advantage of this decision?

• It helps save money.

• It restricts necessary spending.

• It increases impulse buying.

• It has no advantage.

Emma recently noticed a few unfamiliar transactions on her bank statement. What is a key reason she should check her credit report frequently?

• To catch inaccuracies and potential identity theft early.

• To find new investment opportunities.

• To prepare for holiday shopping.

• To automatically increase your credit limit.

Samuel is applying for his first credit card at the age of 18. True or False: Credit scores only matter for adults.

• True

• False

True or False: All types of debt, including student loans and mortgages, can impact credit scores.

• True

• False

David wants to buy a new laptop but doesn't have enough cash at the moment. He decides to use his credit card to make the purchase.

• True

• False