Test your knowledge

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

Keep studying!

Review your answers below to learn more.

All credit cards are a form of predatory lending.

Choose wisely. There is only one correct answer.

True

False

False. Some credit cards have very high fees and other predatory features, but many of them do not.

How long do most payday loans last?

Choose wisely. There is only one correct answer.

A year

A month

Two months

Two weeks

Two weeks. Most payday loans last about the length of a pay period, which is two weeks.

What are some things that a payday lender could do if you did not pay back a payday loan you took out?

Choose wisely. There is only one correct answer.

Turn your loan over to a debt collector

Sue you

Repossess your property that you put up as collateral

All of the above

All of the above. All of these are possibilities.

What is a typical fee on a payday loan?

Choose wisely. There is only one correct answer.

15%

50%

100%

15%. Fee rates range from 15-20% of the amount borrowed.

How soon after receiving your funds from a payday loan can you spend the money?

Choose wisely. There is only one correct answer.

One week

You must wait until the next morning

You must wait 24 hours for the application to clear

Right away

Right away. You may spend the money as soon as you want.

© Copyright 2024 Precision Information, publisher of the Financial Fitness Group family of products. The trade name Financial Fitness Group and the trademarks Financial Fitness CENTER™, Financial Fitness CHECKUP™ and Financial Fitness ACADEMY™ are exclusive marks of Precision Information, LLC. All rights reserved.