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The Ultimate Cash, Credit or Debit Shopping Quiz
by Staff
With so many things to buy in today’s consumer-oriented world, shoppers have a variety of ways to pay for their purchases. They can pay in cash, by credit card or by debit card. Each mode of payment has its distinct advantages and disadvantages. Take this quiz and find out which may be the most effective method for you.

What is plastic money?

  • play money that has no value, like Monopoly money
  • money that is versatile and can be exchanged for foreign currency
  • credit cards or debit cards

When did the first universal credit card come on the scene?

  • in 1920
  • in 1950
  • in 1958

What is the major advantage of a debit card over a credit card?

  • You don’t have to pay interest or monthly bills.
  • You know how much money you have, and you can spend it.
  • You don’t have to provide as much personal information to obtain one.

Who is Tony Howlett?

  • the inventor of the ATM
  • the head of the Federal Reserve Bank

What is Tony Howlett’s bold claim?

  • that we will eventually stop using cash
  • that we will ultimately not use money in any form
  • that credit cards will become obsolete

In what way is plastic money better than cash?

  • It is easier to spend.
  • It is more hygienic.
  • It is more convenient to use.

What aspect does cash have that plastic cards don’t?

  • durability
  • anonymity
  • versatility

Which one of the following statements is true?

  • In 2006 there were exactly 984 million credit and debit card accounts in the US.
  • In 2006 there were fewer than 984 million credit and debit card accounts in the US.
  • In 2006 there were more than 984 million credit and debit card accounts in the US.

How do credit cards and debit cards provide proof of ownership?

  • They have your name and signature on them.
  • They have your passport number on them.
  • They have your thumbprint on them.

If your credit card is lost or stolen, how much do you have to pay for any merchandise that was bought with your card?

  • up to $50
  • up to $150
  • up to $500

Under the Electronic Fund Transfer Act, what is the penalty for waiting more than two days to inform the bank about a lost or stolen debit card?

  • The bank will not issue you a new card.
  • You are obliged to pay $500.
  • You are responsible for the full amount of all purchases made during the lag time.

What is a PIN?

  • a phony identity name
  • a private insurance numeral
  • a personal identification number

In the case of loss or theft, why is a debit card more secure for the owner than a credit card?

  • because the owner can empty out his bank account before anyone tries to access it
  • because only the owner knows the code to access the account
  • because it has the owner’s fingerprint on it

How do credit card companies make money?

  • by making a commission on each purchase
  • by investing the money in mutual funds
  • by charging interest

On average, how much credit card debt does an American incur?

  • about $13,000
  • about $16,000
  • about $22,000

How do banks make money from debit cards?

  • by charging overdraft fees
  • by charging a withdrawal fee
  • by imposing service charges

In terms of modes of payment, which is the wisest method to use?

  • cash
  • credit card
  • debit card

How does making purchases in cash rather than plastic money help you economize?

  • You tend to spend less with cash.
  • There is less risk of clerical errors.
  • You can return things more easily and get your money back on the spot.

What is the pain of paying?

  • the hassle of paying monthly credit card bills
  • the angst of watching your hard-earned cash leave your hands
  • the guilt incurred by using a credit card to buy things you can’t really afford

What is the major downside of using cash instead of plastic?

  • You have no automated record of how much you spend.
  • You have to carry around so much of it.
  • It can’t be recompensed if it’s lost or stolen.