Question

. Which item cannot be used to secure a debt? (1 point)house
car
record collection
credit card

Answer 1

2. Which type of debt is secure? (1 point)mortgage
credit card
personal line of credit
revolving credit line








3. Secured debt usually has _____. (1 point)longer loan terms
lower interest rates
collateral
all of the above






4. A _____ is not an example of collateral. (1 point)checking account
house
car
high-value record collection








5. When you agree to pay a car dealer for the use of a new car during a set
period of time for a set amount of money and you have to return it at the end of
that period of time, you are _____. (1 point)buying
renting
leasing
owning






6. If you put a down payment on a house of less than 20% of its value, you
typically have to pay _____. (1 point)PMI
penalty points
mortgage fees
higher interest rates








7. There is typically a significant difference in loan interest rates between
_______. (1 point)new cars and used cars
used cars and refinanced cars
new cars and refinanced cars
There is no significant difference in loan interest rates.






8. The original loan amount is referred to as the ____. (1 point)principal
originating amount
loan balance
interest deferred amount








9. Lenders rely on credit scores to determine _____. (1 point)risk
loan amounts
loan repayment length
all terms of a loan






10. Interest begins accruing the date of the transaction except for _____. (1
point)mortgages
credit card purchases
credit card cash advances
auto loans