How Credit Savvy Are You

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How Credit Savvy Are You?

• Lets find out how you would do on a quiz about
  credit.

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Question 1

• A credit score of at least ____ is needed for an
  applicant to qualify for a credit-based student
  loan.

• A) 575
• B) 600
• C) 625

A 625. Although this information is not
released by any lender, our anecdotal experience
with Georgetown Law Center students indicates
that 625 is the minimum for most lenders, and
several require higher scores.
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Question 2

• How long does negative information remain on a
  persons credit report?

A) 2 years B) 5 years C) 7 years
C 7 years.
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Question 3

• Generally, what is the minimum time that must
  elapse before a lender will approve a
  credit-based student loan after a credit
  blemish (missed payments, unpaid accounts, etc)
  has been cleared up?

C - 1 year is the minimum.
A) 2 years B) 5 years C) 1 year
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Question 4

• What are the two factors that most negatively
  impact a persons credit score?

• A) Serious delinquency
• B) Too many inquiries
• C) High balances
• D) Public record or collection

A C
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Question 5

• What description generally fits the description
  of a credit deadbeat in the eyes of the credit
  card providers?

A) Makes minimal, if any, payments toward the
credit card bill B) Makes purchases that exceed
their designated credit limit C) Pays the bill in
full on time at the end of every month
A The credit card issuers make the most money
from interest and late fee charges. Those who pay
are on time are considered deadbeats.