Credit and Credit Cards Quick Quiz

To build good credit what is one thing you can do?

• Buy lots of stuff and owe a lot of money

• Buy only what you need on credit

• Buy a new phone every year

• Stop paying your bills e

You should get as many credit cards as you can so you can buy lots of stuff

• YES

• NO

Creditors will consider your income, how long you have been at your job, and your credit and credit history to determine if they will give you a loan

• True
• False

Debbie goes to college. She has a monthly income of $1,800 per month (work study, school grants and scholarships). She has rent of $1000 per month, electricity of $150 per month, groceries of $300 per month, and transportation cost of $15 per month because she uses public transportation, and her cell phone bill at $125 per month. Should Debbie apply for a few credit cards so she has some extra money each month or budget within her means?

• No, she still has $210 dollars left for incidentals like soap , shampoo etc. and she can save a little if she needs to buy new clothes or shop at a thrift/second hand store for clothes

• Yes, its always nice to have a few credit cards

Choose two activities that can help you build good credit...

• Pay your bills on time

• Buy a house with a mortgage you cannot afford

• Only borrow when you absolutely need to such as in case of an emergency

• Spend a lot and use credit to pay bills and have fun

All credit cards have the same interest percentages on items purchased.

• True
• False

When we budget or buy things what do we need to know?

• How much you will get paid next week.

• How much money you have

• Weekend plans

Colten has to buy a new phone from overuse (way overuse). Should Colten buy the new iPhone 5000 with the green shock absorbing case with telepathic relay capabilities at $4000 or a more affordable phone with general capabilities that is good enough to provide for his communication needs for work and for social interaction?

• The new iPhone 5000 - because why not, I don't need to eat, pay my bills or get to work

• The affordable phone because I want to make smart choices regarding budgeting and I like to eat