Quiz: What Do You Know About Credit and Debt?

Take this quiz to test your knowledge

AARP

En español

Published June 14, 2019

8 Questions

a881fbaa-79b7-4bca-bbf5-6a9e75c32d80

Quiz: What Do You Know About Credit and Debt?

[ {
  "question" : "According to credit agency Experian, which of these is among the five biggest factors in determining your credit score?",
  "answers" : [ {
    "answer" : "Your payment history",
    "correctAnswer" : false
  }, {
    "answer" : "Credit utilization",
    "correctAnswer" : false
  }, {
    "answer" : "Negative information such as late payments",
    "correctAnswer" : false
  }, {
    "answer" : "All of the above",
    "correctAnswer" : true
  } ],
  "multiSelect" : false,
  "explanation" : "Rounding out the top five are your credit mix (the different types of credit you have available) and “hard” credit inquiries, in which a potential lender makes an inquiry as part of their decision-making process.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
}, {
  "question" : "As long as you make the minimum payment on your credit cards, you won’t hurt your credit score.",
  "answers" : [ {
    "answer" : "True",
    "correctAnswer" : false
  }, {
    "answer" : "False",
    "correctAnswer" : true
  } ],
  "multiSelect" : false,
  "explanation" : "Paying off just the minimum can hurt your credit utilization ratio (how much credit you have available), and that in turn can affect your score, Experian notes.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
}, {
  "question" : "True or false? Your credit score can affect your home and auto insurance rates.",
  "answers" : [ {
    "answer" : "True",
    "correctAnswer" : true
  }, {
    "answer" : "False",
    "correctAnswer" : false
  } ],
  "multiSelect" : false,
  "explanation" : "Some insurers check your credit when setting your rates, using it to help create an “insurance score.” The practice is banned in some states.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
}, {
  "question" : "What is an APR?",
  "answers" : [ {
    "answer" : "Adjusted Personal Return",
    "correctAnswer" : false
  }, {
    "answer" : "Annual Percentage Rate",
    "correctAnswer" : true
  }, {
    "answer" : "Adjudicated Professional Ranking",
    "correctAnswer" : false
  }, {
    "answer" : "Approved Power Rating",
    "correctAnswer" : false
  } ],
  "multiSelect" : false,
  "explanation" : "The APR measures the cost a lender charges you for funds per year.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
}, {
  "question" : "According to a 2019 survey from Bankrate, this percentage of Americans has savings to pay an unexpected $1,000 expense.",
  "answers" : [ {
    "answer" : "20 percent",
    "correctAnswer" : false
  }, {
    "answer" : "30 percent",
    "correctAnswer" : false
  }, {
    "answer" : "40 percent",
    "correctAnswer" : true
  }, {
    "answer" : "50 percent",
    "correctAnswer" : false
  } ],
  "multiSelect" : false,
  "explanation" : "More than a third would need to borrow the money outright, the personal finance site reported.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
}, {
  "question" : "This type of credit card requires a cash security deposit, which then is used to set your credit line.",
  "answers" : [ {
    "answer" : "Professional card",
    "correctAnswer" : false
  }, {
    "answer" : "Affinity card",
    "correctAnswer" : false
  }, {
    "answer" : "Debit card",
    "correctAnswer" : false
  }, {
    "answer" : "Secured card",
    "correctAnswer" : true
  } ],
  "multiSelect" : false,
  "explanation" : "The cards provide a method for people to establish or reestablish their credit worthiness.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
}, {
  "question" : "Who has a credit report?",
  "answers" : [ {
    "answer" : "Everyone",
    "correctAnswer" : false
  }, {
    "answer" : "Everyone with a credit account",
    "correctAnswer" : true
  }, {
    "answer" : "Everyone over 21 years of age",
    "correctAnswer" : false
  }, {
    "answer" : "Everyone who has a Social Security number",
    "correctAnswer" : false
  } ],
  "multiSelect" : false,
  "explanation" : "Experian notes that a report isn’t created until an individual opens a credit account.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
}, {
  "question" : "What is the lowest possible FICO credit score?",
  "answers" : [ {
    "answer" : "0",
    "correctAnswer" : false
  }, {
    "answer" : "100",
    "correctAnswer" : false
  }, {
    "answer" : "300",
    "correctAnswer" : true
  }, {
    "answer" : "500",
    "correctAnswer" : false
  } ],
  "multiSelect" : false,
  "explanation" : "The scale ranges from 300 to 850, FICO says.",
  "hint" : "",
  "hintLink" : "",
  "questionImgCaption" : "",
  "questionImgCredit" : ""
} ]

Quiz Progress

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