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Introducing the Credit Card: Answer Guide

Quick Reference Answer Guide

Exercise 1: What is Credit?

  1. D: All of the above
  2. D: All of the above
  3. A: That you are hard to trust with a loan or credit card
  4. C: That you are easy to trust with a loan or credit card

Exercise 2: How is credit measured?

  1. B: Fair
  2. A: Bad
  3. C: 660-719
  4. A: 350-619
  5. C: 691

Exercise 3: How can I build good credit?

  1. C: A 40 year old business owner with two cars, a house, and four active credit cards
  2. D: All of the above

Exercise 4: Why do some people have bad credit?

  1. B: A man who has had three car repossessions
  2. D: None of the above.

Exercise 5: Is no credit the same as bad credit?

  1. D: None of the above
  2. B: False

Exercise 6: What do credit cards do for credit scores?

  1. A: Making your monthly payments on time
  2. C: Yes, but only if you miss a payment

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