Unit 6- Test Bank Questions
Becky no longer wants to use her Clothes‐R‐Us store credit card. What is the best thing she
could do with the credit card?
a.) File the credit card away for use at a later time.
b.) Let a family member take over the credit account so her credit score will not be affected.
c.) Keep the credit card in her wallet in case she needs proof of identification.
d.) Close the account by phone and in writing, then destroy the card. - ANSd
When may a person view his/her credit report for free?
a.) At any time and an unlimited number of times
b.) Once a year, from each of the three main credit reporting agencies
c.) A person may not review his/her credit report
d.) If a person has sufficient financial resources - ANSb
When Bryce attempted to borrow money at the bank, he learned that his credit score is low.
Which statement best describes what this is likely to mean for Bryce?
a.) The interest rates on his loan will be lower, since his credit score is low.
b.) The purchase price of the item he needs the loan for will be higher due to his low credit
score.
c.) The monthly loan payments will be lower due to his lower credit score.
d.) The interest rates on his loan will be higher, since his credit score is low. - ANSd
Which is NOT an example of a data furnisher?
a.) Landlord
b.) Credit card company
, c.) Utility company
d.) Medical provider - ANSb
Jenny is 18‐years‐old and has applied for credit for the first time. Her credit application was
declined because she has no credit history. What would you recommend Jenny do to begin to
build a positive credit history?
a.) Jenny should acquire several credit cards to establish that she can manage them
responsibly.
b.) Jenny should obtain a secured credit card.
c.) Jenny should re‐apply for the same credit but include a letter of recommendation from
someone who knows her well and can vouch for her character.
d.) Jenny should apply for a different type of credit. Since she was applying for a bank loan, she
should apply for a credit card. - ANSb
Jake's credit application has been declined because of his negative credit history. Which
statement is most likely to be true?
a.) Jake pays his bills consistently and on time.
b.) Jake has applied for 4 credit cards and a car loan in the past 6‐weeks.
c.) Jake has received 3 traffic tickets in the past 2 months.
d.) Jake holds 2 store credit cards, a bank credit card, a car loan, and a mortgage - ANSb
Which of the following is NOT included in an individual's credit report?
a.) Current and past addresses
b.) Account balances
c.) Bankruptcies and foreclosures
d.) Medical information - ANSd
Edward wants to develop a positive credit history. How should he do this?
a.) Maintain reasonable amounts of available credit
Becky no longer wants to use her Clothes‐R‐Us store credit card. What is the best thing she
could do with the credit card?
a.) File the credit card away for use at a later time.
b.) Let a family member take over the credit account so her credit score will not be affected.
c.) Keep the credit card in her wallet in case she needs proof of identification.
d.) Close the account by phone and in writing, then destroy the card. - ANSd
When may a person view his/her credit report for free?
a.) At any time and an unlimited number of times
b.) Once a year, from each of the three main credit reporting agencies
c.) A person may not review his/her credit report
d.) If a person has sufficient financial resources - ANSb
When Bryce attempted to borrow money at the bank, he learned that his credit score is low.
Which statement best describes what this is likely to mean for Bryce?
a.) The interest rates on his loan will be lower, since his credit score is low.
b.) The purchase price of the item he needs the loan for will be higher due to his low credit
score.
c.) The monthly loan payments will be lower due to his lower credit score.
d.) The interest rates on his loan will be higher, since his credit score is low. - ANSd
Which is NOT an example of a data furnisher?
a.) Landlord
b.) Credit card company
, c.) Utility company
d.) Medical provider - ANSb
Jenny is 18‐years‐old and has applied for credit for the first time. Her credit application was
declined because she has no credit history. What would you recommend Jenny do to begin to
build a positive credit history?
a.) Jenny should acquire several credit cards to establish that she can manage them
responsibly.
b.) Jenny should obtain a secured credit card.
c.) Jenny should re‐apply for the same credit but include a letter of recommendation from
someone who knows her well and can vouch for her character.
d.) Jenny should apply for a different type of credit. Since she was applying for a bank loan, she
should apply for a credit card. - ANSb
Jake's credit application has been declined because of his negative credit history. Which
statement is most likely to be true?
a.) Jake pays his bills consistently and on time.
b.) Jake has applied for 4 credit cards and a car loan in the past 6‐weeks.
c.) Jake has received 3 traffic tickets in the past 2 months.
d.) Jake holds 2 store credit cards, a bank credit card, a car loan, and a mortgage - ANSb
Which of the following is NOT included in an individual's credit report?
a.) Current and past addresses
b.) Account balances
c.) Bankruptcies and foreclosures
d.) Medical information - ANSd
Edward wants to develop a positive credit history. How should he do this?
a.) Maintain reasonable amounts of available credit
