Test your knowledge

Choose wisely. There is only one correct answer to each question.

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1.
When you are in the market for a credit card, one of the best ways to do comparison shopping is to make use of _______.
Choose wisely. There is only one correct answer.
The Internet. There are Websites that provide comparisons of different credit card programs, and many credit card providers use the Internet to make information about their programs easily available.
2.
Which of the following organizations offer credit cards?
Choose wisely. There is only one correct answer.
All of the above. There are thousands of banks, credit unions, and other organizations that offer credit cards.
3.
When comparing credit cards that charge annual fees against cards that do not, the annual fee cards are a bad deal.
Choose wisely. There is only one correct answer.
False. Though some may be a bad deal for you, others may offer features that are advantageous to you.
4.
When comparing credit cards, the annual percentage rate (APR) is more important if you don't pay your bill in full each month.
Choose wisely. There is only one correct answer.
True. The APR is the interest rate you will pay on any balance outstanding on your credit card each month. A lower APR can result in substantial savings.
5.
If your credit card offers cash-back rewards and you have excellent credit, your credit card might raise your cash-back percentage for you.
Choose wisely. There is only one correct answer.
True. Some cards do this periodically to get you to use them.