Exam 6: Choosing a Source of Credit: The Costs of Credit Alternatives

If you take the maximum length of time to pay off a credit card, at a rate of 18.5%, how much interest will you pay in interest on a debt of $2,000?.Based your calculations on a minimum payment of 1/36 or $20, whichever is greater.

According to the current Canada Student Grants Program, the Government of Canada will provide up to a maximum of _______ in loans per week of study to eligible students

In a bankruptcy, a trustee

Government of Canada student loans

Which of the following may indicate potential debt problems?

The shorter the term of the loan the greater the amount of interest charges that must be paid.

What is the EAR for a $100 loan when the interest is compounded daily and the stated annual interest rate is 6.00 percent?

Credit card co-branding has become popular with banks and industries.

What is the EAR for a $100 loan when the interest is compounded monthly and the stated annual interest rate is 6.00 percent?

If a bank charges you interest up front then this loan is called a _________ loan

What is the maximum weekly amount allowed for a student loan that the Federal government will fund, as per your text?

What is the EAR for a $100 loan when the interest is compounded monthly and the stated annual interest rate is 5.00 percent?

After you have selected a product, you should buy it immediately before the store runs out of it.

The disadvantage of using an interest only line of credit is the considerably longer time it takes to repay the loan in comparison to a traditional consumer installment loan.

The most expensive loans available are provided by finance companies, retailers, and banks through credit cards.

You want to borrow $100 for a year at an annual rate of 8% compounded semi-annually.The effective annual rate of the loan is 8.04 percent.

Identify the correct statements. I.Shortening the term of a loan will reduce total interest charges. II.The interest component of each installment loan payment rises over time. III.A credit card holder who pays the minimum balance each month will remain in good standing.

You can often obtain medium-priced loans from

According to consumer affairs experts, one of the nation's main family financial problems is

If you want to take advantage of the interest-free period on your credit card, you must pay your bill in full every month.