SUBJECTS
|
BROWSE
|
CAREER CENTER
|
POPULAR
|
JOIN
|
LOGIN
Business Skills
|
Soft Skills
|
Basic Literacy
|
Certifications
About
|
Help
|
Privacy
|
Terms
Search
Test your basic knowledge |
Credit
Start Test
Study First
Subject
:
personal-finance
Instructions:
Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can
study here
.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.
This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. The unscheduled partial or complete payment of the principal amount outstanding on a loan - such as a mortgage - before it is due.
prepayment
identity theft
credit score
bank
2. A period in which a debt may be paid without accruing further interest or penalty
mortgage brokers
tax preparers
grace period
identity theft
3. The process of taking a business' real assets and turning them into cash - either to pay off debt or to reap a personal profit
cash advances
bankruptcy Chapter 13
liquidation
revolving credit
4. A record of whether or not a person has paid his or her bills on time in the past
credit history
variable rate
prepayment
installment loans/credit
5. The right to hold - possess - control and dispose of property
ownership
identity theft
due date
cash advances
6. One that requires you to keep a savings account as security
secured credit card
PIN (personal identification number)
balance owed
co-signed loans
7. An interest rate that does not change
minimum amount due
bankruptcy Chapter 13
fixed interest rate
secured credit card
8. A credit rating around 500 or lower is high enough risk that many lenders will refuse a line of credit - and those that do grant one will penalize the borrower with high interest rates and difficult terms.
tax preparers
credit history
low credit rating
auto finance companies
9. A card used for making payments; balance must be paid in full when the statement is received
credit limit
credit card companies
charge cards
payday loans
10. The crime of obtaining someone else's personal data and using it for financial gain or to defraud or deceive
credit report
identity theft
bankruptcy Chapter 11
minimum amount due
11. Dealing with liquidation - provides for a court-appointed interim trustee to make management changes - arrange unsecured financing - and generally operate the debtor business to prevent loss.
debtors anonymous
home equity loans
bankruptcy Chapter 7
bankruptcy
12. A claim upon property to satisy a debt
auto finance companies
secured credit card
lien
fixed rate of interest
13. Any of a number of fraudulent - deceptive - discriminatory - or unfavorable lending practices. Many of these practices are illegal - while others are legal but not in the best interest of the borrowers.
Truth in Lending Act of 1968
variable interest
grace period
predatory lending
14. The total amount that a person is charged for borrowing money; includes interest plus any service charges or insurance premiums
bank
finance charge
title for goods
secured loans
15. Is a loan that does not require collateral from the borrower
ownership
tax preparers
unsecured loans
bankruptcy Chapter 7
16. One large loan made to consumers to pay several debts at once
unsecured loans
consolidation loans
bank
pawn shops
17. Deals with reorganization of businesses - provides that - unless the court rules otherwise - the debtor remains in possession of the business and in control of its operation
bankruptcy Chapter 11
mortgage
bankruptcy
tax preparers
18. A long-term loan extended to someone who buys property
mortgage
predatory lending
secured loans
mortgage brokers
19. A legal proceeding in which the creditor either sells or repossesses property for failure to repay a debt
foreclosure
charge cards
fixed interest rate
variable rate
20. Charge very high interest for loans based on the value of tangible assets (such as jewelry or other valuable items)
pawn shops
revolving credit
cash advances
unsecured loans
21. A number you choose and use to identify themselves to gain access to various accounts
bankruptcy Chapter 7
credit cards
PIN (personal identification number)
identity theft
22. Provided a temporary loan at a high interest rate until your next paycheck
payday loans
credit history
cash advances
revolving credit
23. As related to credit - an evaluatin of a person's net worth
due date
prepayment
collateral
low credit rating
24. Provides individuals with revolving open-end credit - which they can draw from repeatedly up to some preset limit
APR (Annual Percentage Rate)
credit cards
collateral
low credit rating
25. Loans for which the borrower is required to pledge specific assets as collateral or security
credit cards
interest (APR)
secured loans
APR (Annual Percentage Rate)
26. The date on which a financial obligation must be repaid
fixed interest rate
liquidation
due date
mortgage brokers
27. Capacity - character and collateral
28. A credit agreement that allows consumers to pay all or part of the outstanding balance on a loan or credit card. As credit is paid off - it becomes available again to use for another purchase or cash advance
revolving credit
Truth in Lending Act of 1968
collateral
penalty
29. Home owners can borrow against the appraised value of their already purchased homes
home equity loans
liquidation
credit reporting agency
overspending
30. Yearly percmet amount it will cost a person to use credit
installment loans/credit
variable interest
fixed rate of interest
APR (Annual Percentage Rate)
31. Money lent: a loan given in cash - especially by an employer or credit card company - in anticipation of the borrower's being able to repay it
tax preparers
bank
cash advances
default
32. The maximum amount of credit a lender will extend to a customer
consolidation loans
overspending
credit limit
garnishment
33. A court action in which a portion of an employee's wage is set aside to pay a debt owed a creditor
garnishment
charge cards
revolving credit
installment loans/credit
34. The amount left over after subtracting - as - for example - the amount owed on a loan (also called principal balance) or the amount in an account
credit card companies
payday loans
revolving credit
balance owed
35. Taking away property due to failure to repay the debt
due date
usury
repossession
minimum amount due
36. Aa financial institution that accepts deposits and channels the money into lending activities
bank
secured credit card
variable interest
credit history
37. Interest rates are effective annual yields
default
fixed rate of interest
line of credit
3 C's of credit
38. Use their knowledge of federal - state - and local tax codes and publications to prepare tax returns and make sure that their clients do not pay unnecessary taxes.
predatory lending
payday loans
liquidation
tax preparers
39. An evaluation of a person's credit history
credit rating
Consumer Credit Counseling Services (CCCS)
home equity loans
tax preparers
40. Failure to repay a debt
default
ownership
minimum amount due
APR (Annual Percentage Rate)
41. A loan that is repaid with a fixed number of periodic equal-sized payments
installment loans/credit
ownership
credit card companies
credit reporting agency
42. When someone with strong established credit signs a contract along with the borrower
consumer debt
co-signed loans
bankruptcy Chapter 13
minimum amount due
43. Is a fellowship of men and women who share their experience - strength - and hope with each other that they may solve their common problem and help others to recover from compulsive debting. The only requirement for membership is a desire to stop inc
ownership
installment loans/credit
debtors anonymous
auto finance companies
44. Debt that has been incurred primarily for the purchase of consumer goods
consumer debt
secured credit card
repossession
bankruptcy Chapter 11
45. If the consumer makes the minimum payment - interest charges continue to accrue on all outstanding balances.
minimum amount due
consolidation loans
foreclosure
secured loans
46. A numerical rating based on person's credit history that represents their credit worthiness
credit score
bankruptcy Chapter 13
minimum amount due
mortgage brokers
47. Bank or business that allows somebody to purchase goods and services and pay for them later - often with interest
3 C's of credit
credit card companies
bank
usury
48. A penalty for making a payment after the due date
late fee
interest (APR)
minimum payment
penalty
49. An interest rate that moves up and down based on the changes of an underlying interest rate index
variable interest
Consumer Credit Counseling Services (CCCS)
minimum payment
credit report
50. An arrangement in which a bank or vendor extends a specified amount of unsecured credit to a specified borrower for a specified time period
pawn shops
secured credit card
interest (APR)
line of credit