H&R Block Budget Quiz 3 Questions
And Answers With Verified Solutions
Already Passed Rated A+
How does credit utilization affect a credit score?
Answer: Maintaining credit utilization below 30% can help improve your
credit score.
What piece of information is typically not found in a credit report?
Answer: Marital status is not usually included in a credit report.
How do loan terms differ between individuals with good versus excellent
credit scores?
Answer: Someone with a good credit score will generally pay a higher
interest rate than someone with an excellent score.
What is the primary role of the major credit reporting agencies?
Answer: Their role is to gather consumer credit and loan information and
provide it to businesses and lenders.
What is a good way for a college student to start building their credit?
Answer: A good way is to apply for a credit card, make small purchases,
and pay off the full balance each month.
Which entity does not use credit scores for decision-making purposes?
Answer: Graduate schools typically do not use credit scores for admissions
decisions.
What best defines credit?
Answer: Credit is an agreement to receive goods or services now with the
promise to pay for them later.
Which transaction is viewed positively on a credit report?
Answer: Timely car loan payments are reported as positive transactions.
Which example represents an open-ended revolving loan?
And Answers With Verified Solutions
Already Passed Rated A+
How does credit utilization affect a credit score?
Answer: Maintaining credit utilization below 30% can help improve your
credit score.
What piece of information is typically not found in a credit report?
Answer: Marital status is not usually included in a credit report.
How do loan terms differ between individuals with good versus excellent
credit scores?
Answer: Someone with a good credit score will generally pay a higher
interest rate than someone with an excellent score.
What is the primary role of the major credit reporting agencies?
Answer: Their role is to gather consumer credit and loan information and
provide it to businesses and lenders.
What is a good way for a college student to start building their credit?
Answer: A good way is to apply for a credit card, make small purchases,
and pay off the full balance each month.
Which entity does not use credit scores for decision-making purposes?
Answer: Graduate schools typically do not use credit scores for admissions
decisions.
What best defines credit?
Answer: Credit is an agreement to receive goods or services now with the
promise to pay for them later.
Which transaction is viewed positively on a credit report?
Answer: Timely car loan payments are reported as positive transactions.
Which example represents an open-ended revolving loan?
