Credit Score — Quiz

Question 1

Jada has been diligently saving for a down payment on a house. She finally feels ready and applies for a mortgage. Her credit score is checked and is found to be 780. What is the most likely outcome of her mortgage application?

Revolt · Accepted Answer

She was approved at a low interest rate.

Question 2

Which detail is a limitation of a promotional offer that boosts a credit score?

Revolt · Accepted Answer

It often only gives a credit score a temporary boost.

Question 3

Which factor can negatively impact the "past payment history" component of a credit score?

Revolt · Accepted Answer

filing for bankruptcy

Question 4

How can high debt relative to credit limits affect a credit score?

Revolt · Accepted Answer

negatively, by indicating potential financial distress

Question 5

A person's amount of debt matches which definition?

Revolt · Accepted Answer

the total amount owed to creditors

Question 6

What effect does a lower credit score have on buying power?

Revolt · Accepted Answer

decreases buying power due to higher interest rates

Question 7

Which situation would not improve a credit score?

Revolt · Accepted Answer

opening many new accounts

Question 8

How does timing impact the total interest paid over the life of a loan?

Revolt · Accepted Answer

Waiting to improve one’s credit score can reduce the total interest paid.

Question 9

Which factor is not used to calculate a credit score?

Revolt · Accepted Answer

a person's age

Question 10

Which agency is responsible for providing a credit report?

Revolt · Accepted Answer

Credit Reporting Agency

Credit Score — Quiz Answers

More from this Course

TRY EDGENUITY HACKS