Credit

19 Questions

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Credit Quizzes & Trivia

Answer all questions.


Questions and Answers
  • 1. 
    Approx how many US consumers have at least one credit card
    • A. 

      50 million

    • B. 

      185 million

    • C. 

      350 million

  • 2. 
    This feature allows businesses or individuals to obtain products or money in exchange for a promise to pay later
    • A. 

      Debt

    • B. 

      Credit

    • C. 

      Budgeting

  • 3. 
    A pre-approved dollar amount on a credit card is called a
    • A. 

      Credit limit

    • B. 

      Credit balance

    • C. 

      Credit percentage rate

  • 4. 
    Credit card fees and interest rates are determined by
    • A. 

      Banks that issue the credit cards

    • B. 

      Credit card sponsors such as Visa or Mastercard

    • C. 

      The federal government

  • 5. 
    Interest rates that are tied to the prime rate or the Treasury bill rate are called
    • A. 

      Fixed rate plans

    • B. 

      Variable rate plans

    • C. 

      Government rate plans

  • 6. 
    Some businesses are large enough to offer their own credit cards, known as proprietary cards or these
    • A. 

      House cards

    • B. 

      Finance cards

    • C. 

      Business cards

  • 7. 
    Proprietary cards  are best described as having
    • A. 

      High annual fees, low interest rates

    • B. 

      No annual fees, no interest rates

    • C. 

      No annual fees, high interest rates

  • 8. 
    American Express, Diners Club and Discover are examples of
    • A. 

      Proprietary cards

    • B. 

      Travel and entertainment cards

    • C. 

      Rebate cards

  • 9. 
    Consumers that do not pay off their balance each month must pay interest charges.  not everyone pays off their balance
    • A. 

      Only 1/2 of cardholders pay off their balance every month

    • B. 

      Only 1/4 of cardholders pay of their balance

    • C. 

      Only 1/20 of cardholders pay off their balance

  • 10. 
    Credit cards issued by banks to demonstrate loyalty to a team, university charity or other organization is called
    • A. 

      Reward cards

    • B. 

      Perfect cards

    • C. 

      Affinity cards

  • 11. 
    A card that authorizes the seller to withdraw funds directly from their bank account to pay for the purcahse is called a
    • A. 

      Credit card

    • B. 

      Debit card

    • C. 

      Security card

  • 12. 
    A loan where merchandise is pledged as collateral on the loan is called
    • A. 

      Secured loan

    • B. 

      Unsecured loan

    • C. 

      Merchandise loan

  • 13. 
    The dollar amount that a customer pays to use credit is called
    • A. 

      The finance charge

    • B. 

      Penalties and fines

    • C. 

      Collateral

  • 14. 
    The type of account enables customers to charge purchases during a month and pay the balance within 30 days after they are billed is called
    • A. 

      30 day accounts

    • B. 

      Revolving accounts

    • C. 

      Installment accounts

  • 15. 
    Time payment plans, allow for payment over a period of time and are most commonly called
    • A. 

      Installment accounts

    • B. 

      Budget accounts

    • C. 

      Revolving accounts

  • 16. 
    These accounts allow for the payment of a purchased item over a certain time period without a finance charge and are called
    • A. 

      Budget accounts

    • B. 

      Revolving accounts

    • C. 

      30 day accounts

  • 17. 
    This legislation requires that lenders disclose information about the annual percentage rate, the name of the company and the amount financed
    • A. 

      Truth in Lending Act of 1968

    • B. 

      Fair credit Reporting Act of 1971

    • C. 

      Equal credit Opportunity Act of 1975

  • 18. 
    This law requires that a lender report the name and address of the credit bureau that was used when a consumer is denied credit
    • A. 

      Fair Credit Reporting Act of 1971

    • B. 

      Fair Debt Collection Act of 1980

    • C. 

      Equal Credit Opportunity Act of 1975

  • 19. 
    This law set guidelines for the review of applications for credit. These laws also prohibit discrimination based on age, gender, race, religion or marital status
    • A. 

      Fair Debt Collection Act of 1980

    • B. 

      Truth in Lending Act of 1968

    • C. 

      Equal Credit Opportunity Acts of 1975