This quiz works best with JavaScript enabled. Home > Finance > Credit > Credit – Quiz 5 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Credit Quiz 5 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. A loan that is repaid in regular payments over a period of time is called a(n): A) Installment loan. B) Pawnshop loan. C) Payday advance loan. D) Line of credit. Show Answer Correct Answer: A) Installment loan. 2. The number of open credit accounts, the balances on credit accounts, the number of on-time payments, and the number of credit inquiries on an individual A) Credit history. B) Credit report. C) Credit card. D) None of above. Show Answer Correct Answer: A) Credit history. 3. A ..... is money lent by a financial institution with the expectation that it will be paid back with interest. A) Service. B) Loan. C) Consumer. D) Economy. Show Answer Correct Answer: B) Loan. 4. FICO stands for: A) Fair Isaac Corporation. B) Fair Isaac Newton. C) Fair Isaac Company. D) Fair Investment Corporation. Show Answer Correct Answer: A) Fair Isaac Corporation. 5. What does FICO stand for? A) First Intern Corporation. B) Foreign Investment Corporation. C) Future Interest Corporation. D) Fair Isaac Corporation. Show Answer Correct Answer: D) Fair Isaac Corporation. 6. Open to anyone over 18 A) Bank. B) Credit Union. C) Both. D) Neither. Show Answer Correct Answer: A) Bank. 7. Which is an exceptional credit score? A) 672. B) 555. C) 713. D) 813. Show Answer Correct Answer: D) 813. 8. The cosigner of a loan agrees to A) Pay for faulty merchandise. B) Make sure the loan is legal. C) Pay only the interest on the loan. D) Pay the debt if the debtor does not pay. Show Answer Correct Answer: D) Pay the debt if the debtor does not pay. 9. One disadvantage of credit is A) The use of goods while paying for them. B) The forced savings feature of credit. C) Impulse buying by credit users. D) Building a credit reputation. Show Answer Correct Answer: C) Impulse buying by credit users. 10. When a person declares bankruptcy that fact will appear on the person?s credit report A) For a 3 year period. B) For a 10 year period. C) Until the person repays all debts owed. D) Until the person is able to receive a new credit card. Show Answer Correct Answer: B) For a 10 year period. 11. To pay for goods /services and at end of month they pay bill A) Credit cards. B) Credit history. C) Credit report. D) Delinquent. Show Answer Correct Answer: A) Credit cards. 12. A measure of a person's ability and willingness to pay debts on time. A) Credit rating (score). B) Collateral. C) Credit limit. D) None of above. Show Answer Correct Answer: A) Credit rating (score). 13. ..... is a report that details how a person has used credit in the past. A) Credit report. B) Credit card. C) Credit score. D) Credit history. Show Answer Correct Answer: A) Credit report. 14. Surrender of notes to the bank by the government by a specific period and receive new currency is called ..... A) Digital banking. B) Banking. C) Demonetisation. D) Monetization. Show Answer Correct Answer: C) Demonetisation. 15. Has $ 250, 000 dollars worth of insurance in case they lose all their money A) Bank. B) Credit Union. C) Both. D) Neither. Show Answer Correct Answer: C) Both. 16. The Truth-in Lending Act of 1969 requires that all contracts for credit express the finance charge as a(n) A) Annual percentage ratio. B) Dollar amount. C) APR. D) Fraction. Show Answer Correct Answer: C) APR. 17. Organization which supervises the credit activities of lenders in the informal sector? A) No organisation. B) Reserve bank of India. C) State government. D) Central government. Show Answer Correct Answer: A) No organisation. 18. Which federal government student loan will the government pay interest as long as you are at least a half time student. A) Subsidized Federal Student Loan. B) Unsubsidized Federal Student Loan. C) Direct Plus Student Loan. D) Guarantee Student Loan. Show Answer Correct Answer: A) Subsidized Federal Student Loan. 19. The ..... legalises the use of rupee as a medium of payment that cannot be refused in settling transactions in India. A) Government. B) Law. C) Court. D) Prime Minister. Show Answer Correct Answer: B) Law. 20. Which one of the following is not a feature of money? A) Medium of exchange. B) Lack of divisibility. C) A store of value. D) A unit of account. Show Answer Correct Answer: B) Lack of divisibility. ← PreviousNext →Related QuizzesFinance QuizzesCredit Quiz 1Credit Quiz 2Credit Quiz 3Credit Quiz 4Credit Quiz 6Credit Quiz 7Credit Quiz 8Credit Quiz 9Credit Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books