Exam 5: Consumer Credit: Advantages, Dis-Advantages, Sources, and Costs

If you are denied credit,you can contact the credit bureau and ask for a copy of your credit report.The bureau cannot charge a fee for this service as long as you ask to see your files within

Sam is comparing the costs of two loans.One is due in one year and the other is due in four years.Both have the same stated rate of interest.Which of the following is true?

When calculating the debt-to-equity ratio,the following is NOT included:

The longer it takes for you to pay off a bill,the less interest you pay.

If you have reached the upper limit of debt obligations,your debt-to-equity ratio is about

Timothy Carter has net monthly income of $3,800.He has a monthly auto loan payment of $350,a student loan payment of $145,a mortgage payment of $1,200,and a credit card minimum payment of $45.What is his debt-payments-to-income ratio?

A disadvantage of using credit is its use when making a hotel reservation.

Credit bureaus get their information from all of the following except

Before buying goods and services on credit,a consumer should consider all of the following except

Peter borrowed $225.He paid $20 interest and a service charge of $3.00.What is his finance charge?

According to the Fair Credit Billing Act of 1975,a consumer may tell a credit card company to stop payment for a defective good if the consumer has made a sincere attempt to resolve the problem with the store.

Hannah has liabilities totaling $30,000 (excluding her mortgage of $100,000).Her net worth is $45,000.What is her debt-to-equity ratio?

Which of the following acts sets procedures for promptly correcting billing mistakes,refusing to make credit card or revolving credit payments on defective goods,and promptly crediting your payments?

The least expensive loans are often provided by parents or other family members.

Identify three steps you can take to recognize,avoid,and report fraud or deception on the Internet.

A loan officer is examining whether or not to will offer you a loan today.Specifically,she is examining your income and debts.Which of the five Cs is the loan officer reviewing?

Juan purchased some new appliances and took out a $1,600 loan from the bank.The bank is using the simple interest formula for this two-year,9% loan.What is the total amount he will pay when the loan is due?

Closed-end credit consists of loans made on a continuous basis with periodic bills for at least partial payment.

Which of the following is a valid reason for borrowing?

Following the signing of the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005,debtors seeking to erase all debts will have to wait ___ year(s)from their last bankruptcy before they can file again.