Exam 6: Using Credit

Sheldon has a home valued at $108,000 with an outstanding mortgage of $70,000.If his lender is willing to provide a home equity loan of up to 80% of the market value of his home,how much can Sheldon borrow using a home equity loan?

Which of the following is not essential when a lender analyzes the creditworthiness of a borrower?

The finance charges on two credit cards with the same stated annual percentage rate (APR):

A credit report is routinely used to predict creditworthiness.

The purpose of a credit report is to evaluate the kind of risk you pose to the lender.

AChapter 13 bankruptcy filing would result in the discharge of most of your debts.

With a bank credit card,one can often avoid interest charges if:

Which of the following calculation methods would produce more interest income for a person who uses his or her credit card very frequently?

James finds it difficult to manage credit but wants the convenience of using a credit card.He wants to get a card that will provide direct access to his checking account.James should get a _____.

Most creditors ____________ if you are having difficulty meeting your payments. ​

Which of the following is true about credit scoring systems?

Credit reports on individual borrowers are provided by credit card issuers.

The intent of the Wage Earner Plan is to eliminate all of a debtor's obligations.