This quiz works best with JavaScript enabled. Home > Finance > Credit > Credit – Quiz 18 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Credit Quiz 18 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. This is the form you must fill out before going to college in order to get aid from the government to pay for college A) FAFSA. B) FASAF. C) FASFA. D) AFSAF. Show Answer Correct Answer: A) FAFSA. 2. An unsecured loan is one that A) Has something of value the lender can take in case of default. B) Has nothing of value the lender can take in case of default. C) Is specifically for buying a house. D) None of above. Show Answer Correct Answer: B) Has nothing of value the lender can take in case of default. 3. What will be collateral for a car loan? A) Stamp and Vehicle registration papers. B) Registration papers. C) Installments. D) Interest payment. Show Answer Correct Answer: A) Stamp and Vehicle registration papers. 4. The length of time before you get charged interest. A) Free period. B) Installment. C) Grace period. D) Waiver. Show Answer Correct Answer: C) Grace period. 5. What financial habits determine your credit score? A) Payment History & Amount you owe. B) Length of credit history & Amount of new credit applied for recently. C) Types of credit open. D) All of these are correct. Show Answer Correct Answer: D) All of these are correct. 6. All of the following terms but one is associated with secure loans A) Collateral. B) Revolving. C) Repossession. D) Foreclosure. Show Answer Correct Answer: B) Revolving. 7. Which one of the following is an asset that the borrower owns and uses as a guarantee until the loan is repaid to the lender? A) Property. B) Money. C) Collateral. D) Deposits. Show Answer Correct Answer: C) Collateral. 8. The smallest required payment that a credit card holder can pay on a monthly bill and still remain in good standing with the lender. A) Minimum Payment. B) Balance. C) Principal. D) Credit. Show Answer Correct Answer: A) Minimum Payment. 9. A yearly fee for having an open account A) Annual Fee. B) Yearly Fee. C) Year End Fee. D) Anniversary Fee. Show Answer Correct Answer: A) Annual Fee. 10. Payment history accounts for around ..... of your credit score. A) 1/2. B) 3/4. C) 35%. D) 90%. Show Answer Correct Answer: C) 35%. 11. A loan obtained when you purchase a home and use the home as collateral is a(n) A) Unsecured debt. B) Foreclosure. C) Mortgage. D) Assessment. Show Answer Correct Answer: C) Mortgage. 12. Reserve Bank of India was nationalised on A) 1st January 1947. B) 1st January 1948. C) 1st January 1949. D) 1st January 1960. Show Answer Correct Answer: C) 1st January 1949. 13. Which one is NOT a benefit of having a credit card? A) Raises standard of living. B) Convenient. C) Interest. D) Increase financial options. Show Answer Correct Answer: C) Interest. 14. Financial ability to repay a loan with present income? A) Character. B) Capacity. C) Conditions. D) Credit Freeze. Show Answer Correct Answer: B) Capacity. 15. An example of closed-ended credit is a(n) ..... A) Installment loan. B) Credit card. C) Equity Credit line. D) None of above. Show Answer Correct Answer: A) Installment loan. 16. What is a Loan? A) A sum of money lent to a borrower at some interest rate. B) A sum of money that you give to charity. C) The amount of money that you get from the IRS. D) Schumer Box Fee. Show Answer Correct Answer: A) A sum of money lent to a borrower at some interest rate. 17. ..... is the entire amount of money you owe to lenders A) Bankruptcy. B) Debt. C) Obligation. D) Duty. Show Answer Correct Answer: B) Debt. 18. All are advantages of credit except: A) Credit allows you to pay for major purchases over time. B) Credit cards are more convenient than carrying cash. C) Credit cards create debt. D) Credit can provide emergency funds. Show Answer Correct Answer: C) Credit cards create debt. 19. The FICO score measures all of the following except: A) Debt History. B) Savings Account Balanace. C) Types of Debt. D) New Debt. Show Answer Correct Answer: B) Savings Account Balanace. 20. Who has power to sign One rupees paper note in India? A) Governer of RBI. B) President. C) Finance Secretary. D) Finance Minister. Show Answer Correct Answer: C) Finance Secretary. ← PreviousNext →Related QuizzesFinance QuizzesCredit Quiz 1Credit Quiz 2Credit Quiz 3Credit Quiz 4Credit Quiz 5Credit Quiz 6Credit Quiz 7Credit Quiz 8Credit Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books