Debit/Credit Card
True or False: When using a credit card to purchase something you are borrowing that amount to pay back later to the lender.
True
True or False: Having a debit card can affect your credit score.
False, a debit card does not affect your credit score because you are not borrowing money. You are using money from your own account when paying with a debit card.
What is a loan?
(Answers may vary) It is when you borrow money to pay for something or pay for a service.
True or False: You should always respond to text message notifications about your accounts by clicking the link in the text message.
False. Proceed with caution when looking at texts about your accounts. Do not click on any links. Call your financial institution directly to very the message.
What can your money earn if you put it in a bank account (hint: it will help to increase your money)?
Interest, if you put money in an account at a financial institution that institution may give you interest for keeping your money in at account.
What is a debit card?
A debit card is a plastic card that is electronically connected to the cardholder's checking account.
What is the range for a credit score? a. 100 - 1000, b. 250 - 500, c. 300 - 850, d. 500 - 1000
c. 300 - 850
Name 3 things you might need a loan for?
(Multiple answers) Going to school, buying a car, buying a house, paying off debt, personal expenses (ex. furniture, computer)
True of False: Scammers can change a phone number and caller ID to look like a financial institution when trying to scam someone.
True. Scammers will change numbers to trick people into thinking it is a familiar company/institution. If you have concerns about something always call the company/institution directly.
If I have 3 one dollar bills, 2 five dollar bills, 1 ten dollar bill, 1 fifty dollar bill, 2 quarter, and 3 dimes how much money do I have in total?
$73.80 in total (50 + 10 + 5 + 5 + 3 + .50 + .30)
Which card can charge you interest?
Credit cards can charge interest if the balance is not paid in full at the end of the month.
How would you define a good/excellent credit score?
(Answers may vary) Having a good/excellent credit score mean you have a higher credit score and you will be eligible for more lending and lower interest rates.
How can the interest affect your loan repayment?
(Answers may vary) Interest can make a difference on the amount you pay back for your loan. If your interest is low you will pay back less compared to a higher interest.
Name 2 types of scams.
(Multiple answers) Imposter scams (bank, IRS, business law enforcement, charity scams, social media scam, family emergency scam, debt relief/loan scam, job offer scam, fake check scam, phishing, smishing, vishing
What does it mean to endorse a check?
This is to sign the back of a check to authorize the bank to convert the check to cash or deposit into your account.
Can a minor have their own credit card?
No, minors are not allowed to have a credit card on their own. You have to be at least 18. Minors can be added as authorized users on their parent/guardian's credit card.
Name 2 things your credit score is based on?
(Multiple answers) Payment history, amount owed, new credit, length of credit history, credit mix - different types of credit
What does APR stand for?
Annual Percentage Rate: this is the cost of credit expressed as a yearly percentage.
What is vishing?
When scammers try to make contact via phone call, short for voice phishing. Calls can come from unknown numbers, numbers with local area code or legitimate companies.
Name 2 benefits to budgeting?
(Multiple answers) Helps to see how you are spending your money, can save, can make sure to have money for needs before wants.
Give two tips that can help you avoid credit card debt?
(Multiple answers) Only borrow what you can afford, try to pay off entire balance each month, don't use credit cards as a source of income, don't max out your credit cards, don't co-sign for a friend, be aware of gimicks, don't settle for the first offer (do your research)
Give 2 tips that can help you build good credit?
(Multiple answers) Always make payments on time, pay off your entire credit balance each month, apply for credit sparingly, only take out what you can afford to pay back, don't max out credit cards.
What is the principal of a loan?
(Answers may vary) The amount of debt, not including interest, on a loan.
Name 2 ways to help prevent falling victim to a scam?
(Multiple Answers) Strong password, anti-virus software, account notifications, routine credit score monitoring, freeze/unfreeze debit credit card, travel alerts, do not share information with others, verify on your own.
Where do Tim and Suzette work?