Credit and Loans

Question 1

A credit score is based in part on

Revolt · Accepted Answer

payment history and total debt.

Question 2

good credita bank accounttax returns

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good credit

Question 3

The type of credit people are most likely to use for small purchases during their lifetime is

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a credit card.

Question 4

An example of secured credit is a

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mortgage.

Question 5

The simple interest on a loan of $200 at 10 percent interest per year is

Revolt · Accepted Answer

$20 per year until the loan is paid off.

Question 6

What best determines whether a borrower’s interest rate on an adjustable rate loan goes up or down?

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a market's condition

Question 7

A way to build good credit is

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paying bills when they are due.

Question 8

For which buyer would a lender most likely approve a $200,000 mortgage?

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a person with a credit score of 760 with a small amount of debt who has had steady employment for many years

Question 9

What is the compound interest on a three-year, $100.00 loan at a 10 percent annual interest rate?

Revolt · Accepted Answer

$33.10

Question 10

Which statement is true of both mortgages and auto loans?

Revolt · Accepted Answer

They are secured loans and generally require a down payment.

Credit and Loans Answers