Untitled Quiz

What is a credit card?

• A credit card is a payment card that enables the holder to borrow funds for purchases they can pay back later

• A credit card is a type of loan that must be repaid in full each month.
• A credit card is a card used specifically used only for bills

• A credit card is a prepaid card that limits spending and is specific for food bills.

What happens in the event of a credit card default?

• The lender will automatically forgive the debt.
• The credit card will be canceled and you will have to pay money.

• The credit card company can raise your interest rates.

• The borrower will receive a refund for their payments.

What is revolving payment?

• A line of credit that remains available over time, even if you pay the full balance

• Payments that you have to pay for the rest of your life.

• A payment you have to pay for living on earth

• Line of credit that doesn't remain constant

What is the definition of principal?

• The principal is a type of investment strategy.
• The principal refers to a secondary amount of money.
• The principal is the person who manages a school club.
• The principal is the original sum of money

What are annual fees?

• Payments you pay for the privilege of having a credit card.

• Fees you pay for subscriptions.

• Fees to pay on credit card when you go to school.

• Fees you pay when you lose your credit card.

What are some rewards you can get for having a credit card?

• Rewards for having a credit card include cash back, travel points, discounts, sign-up bonuses, and rewards accumulation.
• Increased interest rates
• Monthly subscription fees
• Free trials for online services

What is the credit limit based upon?

The recommended credit limit is 75% of net income

• True
• False

What is a debit card?

• A debit card is a credit card that allows borrowing money.
• A debit card is a type of loan that must be repaid monthly.
• A debit card is a prepaid card that can only be used for online purchases.
• A debit card is a payment card linked to a bank account that allows direct access to funds for transactions.

What is an installment payment?

• Someone paying a bill in small portions throughout a set period of time

• Someone paying a bill in small increments with set time

• Someone paying someone to install their TVs

• Someone paying $7,000,000 to install electricity.