Personal Finance (Understanding Credit)

Fido wants to buy a new car. He will need to get a car loan. Fido decides to wait for a few months until his credit history improves. Which explains whether Fido is making a sensible decision?

Fido's decision is sensible because the cost of the car loan should be less if his credit history improves.

A lender is assessing customers for loans. The credit scores of four customers are below. Ida-820 Corrine-550 Bruce-390 Roland-610 Which person will the lender assess as having the lowest risk?

Ida

Kendrick is planning to buy a house. Which explains why he should establish a positive credit history before buying the house?

It will be easier for him to get a loan to buy the house.

Kenya used a debit card to buy a pair of jeans. Which statement is true about her method of payment?

Kenya used money directly from her bank account to buy the jeans.

Lois bought clothing at a store. She did not have enough in her bank account to pay for the purchase. After receiving the bill and paying off the balance, she realized that she paid $9.69 in interest. Which statement is true about her method of payment?

Lois used a credit card to make the purchase.

Tamera and Rupert each applied for the same credit card through the same company. Tamera has a positive credit history. Rupert has a negative credit history.

Tamera's credit limit is most likely higher than Rupert's, and her interest rate is most likely lower.

This year, Mr. Thomas has a higher credit score than he did last year. Which of the following should Mr. Thomas expect with the improved score? Check all that apply.

an easier time getting a car loan an easier time renting an apartment

Yoko is buying a car from a local car dealership. She wants to get the lowest interest rate possible. Which will most likely help her get the lowest interest rate?

making sure she has a positive credit history

Quincy listed information from his credit report. Which list could Quincy have written?

previous address, current address, bankruptcy, car loan payment history

Tyler is using a credit card to purchase a television. Which of the following should Tyler expect? Check all that apply.

to receive a bill at a later date to be able to pay for it over time to pay interest if he does not pay in full by a certain date