The Ultimate Ways to Build Credit Quiz
by Staff
Some people have never applied for credit, whereas others are trying to rebuild their credit rating after bankruptcy or years of defaulting on payments. It can be difficult to establish good credit, but hope is not all lost. Take this quiz and find out how you can be credit healthy.

How do lenders determine your credit history?

  • credit scores
  • credit reports
  • both of the above

How many Americans have no credit history?

  • 25 million people
  • 50 million people
  • 75 million people

If you don't have any credit, what should you do before you attempt to apply for a credit card?

  • Make sure you don't have an open file with a credit report agency.
  • Open a checking account with your local branch.
  • both of the above

How often should you check your credit rating?

  • every six months
  • once a year
  • every five years

How many American children and adolescents were victims of identity theft in 2008?

  • 1,000 children and adolescents
  • 10,000 children and adolescents
  • 20,000 children and adolescents

How can you prove financial responsibility without owning credit?

  • Open a bank account.
  • Have your name added to your parents' credit card.
  • both of the above

Besides your credit activity, what other information is included in your credit report?

  • your checking and savings account information
  • whether your bank account goes in the red
  • both of the above

What is a credit score?

  • a three-digit number
  • a four-digit number
  • a five-digit number

What is a FICO expansion score?

  • It's a credit rating that also includes your bank account activity.
  • It's a credit rating that also includes your bill payments.
  • both of the above

What happens to my co-signer's credit rating if I don't make payments on time?

  • Your co-signer's credit will be unaffected.
  • Your co-signer's credit will be less affected than your credit.
  • Your credit and your co-signer's credit will be equally affected.

What is a secured credit card?

  • It's the same thing as a debit card.
  • It's a credit card that is co-signed with a secured credit card holder.
  • It's a credit card that has collateral in a bank.

How long must you use a secured credit card before a lender will transfer you to a regular unsecured credit card?

  • six to 12 months
  • 12 to 18 months
  • 18 to 24 months

What should you watch out for when using a secured credit card?

  • Secured credit cards tend to have higher interest rates and fees.
  • Make sure the secured credit card company reports to all credit agencies.
  • both of the above

Why should you avoid getting several retail credit cards?

  • Store claims of saving money on their retail credit card are misleading and false.
  • Your credit rating will suffer.
  • both of the above

How do you build healthy credit with an unsecured credit card?

  • You need to make at least the monthly minimum payment on time.
  • You shouldn't have an outstanding balance month to month.
  • You shouldn't use it altogether.

Besides defaulting on monthly payments, what else can harm your credit rating?

  • carrying a high outstanding balance
  • never paying more than the minimum
  • both of the above

What is an example of installment credit?

  • student loan
  • credit card
  • credit line

What are lenders looking for when they examine your employment history on your credit report?

  • your employer
  • employment stability
  • both of the above

What is one of the most important factors when you are being considered for a mortgage?

  • your employment stability
  • your salary history
  • the number of credit cards you own

How long will your credit report be tarnished if you file for bankruptcy?

  • for five years
  • for 10 years
  • for life