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Basics Beginner: Introduction to Credit Cards

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1.
If you open up a joint credit card account with someone, who is responsible for paying on the balance?
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Both of you. Per the agreement with the card company, you both are responsible, even if only one of you makes the actual payments.
2.
Your credit card may charge you a separate fee for making a payment over the telephone.
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True. This is a payment processing fee.
3.
Which type of credit card requires you to pay back your full balance every month?
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Charge card. The other types of cards noted are not necessarily charge cards.
4.
After the promotional APR on a credit card ends, the interest rate switches to the _______ APR.
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Regular. The regular APR is for regular use.
5.
When considering the potential drawbacks of credit card use, one of the biggest concerns is that you are liable for unlimited amounts of charges incurred when a card is lost or stolen.
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False. Federal laws and bank policies limit your liability for unauthorized charges, as long as you notify the card issuer in a timely fashion if your card is lost or stolen.
6.
Interest on credit card balances is calculated by a variety of methods. With which method does a credit card add up each days balance in the billing cycle and average all of them?
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Average daily balance. This method averages each days balance.
7.
Your credit card company must deliver your bill at least how many days in advance?
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21. This new threshold allows you a longer grace period.