Personal Finance Courses: Credit

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1.
An example of revolving credit is _______.
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A credit card agreement. Credit card agreements are an example of revolving credit.
2.
Having credit available is necessary for most of us who want to _______.
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All of the above. For most of us, we need credit to do these things.
3.
Opening several new credit accounts in a short period of time can result in an improved credit score.
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False. Opening several new credit accounts in a short period of time can result in a lowered credit score.
4.
How long can a bankruptcy stay on your credit report?
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Seven or 10 years, depending on the type of bankruptcy. At present, they can stay this long.
5.
Shopping for a good credit card deal is easy because there are only a few large organizations that offer credit cards.
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False. There are thousands of banks, credit unions, and other organizations that offer credit cards.
6.
A credit card's annual percentage rate is _______.
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The interest rate you must pay over the course of a year. The APR is what you would pay over a whole year. What you pay each month on your card is 1/12 of that.
7.
During what hours does the law allow debt collection agencies to call you?
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Collection agencies may call only at reasonable times. The law says that calls before 8 a.m. or after 9 p.m. are unreasonable.