7
QuizMultiple Choice

Credit Score — Quiz

Question 7 • Financial Algebra/Mathematics

Which situation would not improve a credit score?

Answer
A
paying off credit card debt
B
keeping older accounts open and in good standing
C
making all loan payments on time
D
opening many new accounts

Explanation

Opening many new accounts can lower a credit score because it may create several hard inquiries and make lenders see you as a greater risk. Keeping older accounts in good standing, paying down credit card debt, and making loan payments on time can all help improve a score. The correct choice is opening many new accounts.

AI-written and checked against the verified answer.

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