QUESTION 6 What is the best advice you could give your friends about credit cards?

QUESTION 6

1. What is the best advice you could give your friends about credit cards?
2. Pay only the minimum balance each month
3. Charge everything you can on your credit card
4. Pay your credit card balance off in full each month
5. Apply for as many credit cards as possible

4 points  

1. You purchase a new stereo at a local electronics store and decide to pay using your credit card. You plan to pay off this debt within a year. Choose the best credit card choice from the following offers.
2. 22% interest
3. 29% interest
4. 0% interest for 1 year and 12% interest after that
5. 6% interest

4 points  

1. What is revolving debt?
2. Debt that never changes
3. Debt that has a fixed payment each month
4. Debt that has no fixed payment but is based on a percentage of the outstanding balance
5. Debt that is used to change things

4 points  

1. Which of the following are you usually able to deduct off your tax return?
2. interest paid on credit cards
3. interest earned from a bank account
4. interest paid on a mortgage
5. none of the above