This quiz works best with JavaScript enabled. Home > Finance > Credit > Credit – Quiz 3 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Credit Quiz 3 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Choose the correct meaning of organised sector: A) It covers those enterprises where the terms of employment are regular. B) It is outside the control of the government. C) Jobs are not regular. D) It provides low salaries. Show Answer Correct Answer: A) It covers those enterprises where the terms of employment are regular. 2. Having a low credit score can make it more difficult to: A) Obtain a car loan. B) Open a new credit card. C) Secure an apartment lease. D) All of the above. Show Answer Correct Answer: D) All of the above. 3. What is the correlation between collateral and credit score? A) The lower a person's credit score the less collateral he/she has to put up. B) The higher a person's credit score, the less collateral a person has to put up. C) There is no correlation between collateral and credit score. D) None of above. Show Answer Correct Answer: B) The higher a person's credit score, the less collateral a person has to put up. 4. Amount owed on a credit card or loan A) Balance. B) Credit. C) Interest. D) Capacity. Show Answer Correct Answer: A) Balance. 5. Benefits of credit cards include: A) Safe and convenient, bonuses are offered. B) Allows you to build a positive credit report. C) Needed for reservations and online shopping. D) All of these. Show Answer Correct Answer: D) All of these. 6. Bank of America issues you a credit card with a maximum balance of $ 1, 000. This is an example of: A) Finance Charge. B) Co-Signer. C) Minimum Payment. D) Credit Limit. Show Answer Correct Answer: D) Credit Limit. 7. Banks provide a higher rater of interest on which one of the following accounts? A) Saving account. B) Current account. C) Fixed deposits for long periods. D) Fixed deposits for very short periods. Show Answer Correct Answer: C) Fixed deposits for long periods. 8. Which authority regulate and overlook the credit sysetm and economic activites in India A) NSSO. B) CBI. C) Finance Minister. D) RBI. Show Answer Correct Answer: D) RBI. 9. Which is NOT a financial consequence of debt? A) Debt can cost you your friends and family. B) Debt can lead to overspending. C) Debt obligates your future income. D) Debt can increase your insurance premium. Show Answer Correct Answer: A) Debt can cost you your friends and family. 10. Offers loans, debit cards, and financial services A) Bank. B) Credit Union. C) Both. D) Neither. Show Answer Correct Answer: C) Both. 11. A number based on your borrowing history. The higher it is the easier it is for you to receive credit. A) Credit Option. B) Credit Score. C) Credit Worthiness. D) None of above. Show Answer Correct Answer: B) Credit Score. 12. Money can be best described as A) Medium of transaction. B) Medium of exchange. C) Deposit in Banks. D) Payment through cheque. Show Answer Correct Answer: B) Medium of exchange. 13. The protections put in place by law to help people obtain and maintain credit A) Credit Rights. B) Credit Responsibilities. C) Credit Score. D) Credit Report. Show Answer Correct Answer: A) Credit Rights. 14. What percentage of deposits are kept as cash by the commercial banks in India? A) 25%. B) 20%. C) 15%. D) 10%. Show Answer Correct Answer: C) 15%. 15. Which of the following can impact your credit score? A) Living with our parents to cut down on expenses. B) Making a late car loan payment. C) Paying cash for a used car. D) Getting bonus pay from your employer. Show Answer Correct Answer: B) Making a late car loan payment. 16. A creditor determines your creditworthiness based on: A) Character, collateral, and capacity. B) Address. C) Gender. D) Level of education. Show Answer Correct Answer: A) Character, collateral, and capacity. 17. A Co-signer is responsible for: A) The entire loan. B) Non of the loan. C) What ever the primary person does not pay. D) Half. Show Answer Correct Answer: A) The entire loan. 18. Your credit score, as used in applications for loans and credit, relates to A) Character, capacity, and capital. B) Truth-in-Lending regulations. C) Voluntary and involuntary bankruptcy. D) Repossession. Show Answer Correct Answer: A) Character, capacity, and capital. 19. The amount of the loan per year as a percentage of the amount borrowed. A) Interest. B) Fees. C) Annual Percentage Rate. D) Installment Loan. Show Answer Correct Answer: C) Annual Percentage Rate. 20. An arrangement to receive cash, goods, or services now and pay for them in the future. A) Credit. B) Credit history. C) Credit report. D) Creditor. Show Answer Correct Answer: A) Credit. ← PreviousNext →Related QuizzesFinance QuizzesCredit Quiz 1Credit Quiz 2Credit Quiz 4Credit Quiz 5Credit Quiz 6Credit Quiz 7Credit Quiz 8Credit Quiz 9Credit Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books