C. Your credit score might go down.
If your friend fails to make timely payments on the credit card, it can negatively affect your credit score, as co-signing means you are also responsible for the debt.
If you co-sign for a friend's credit card, what is the danger to you if your friend fails to pay?
A.
You might get secured credit.
B.
You might have to pay extra money in taxes.
C.
Your credit score might go down.
D.
Your credit score might go up.
7 answers
Which type of tax provides income for retired and disabled people and their families?
A.
Social Security tax
B.
Medicare tax
C.
Property tax
D.
Income tax
A.
Social Security tax
B.
Medicare tax
C.
Property tax
D.
Income tax
A. Social Security tax
The Social Security tax provides income for retired and disabled people and their families through the Social Security program.
A company sells a car to a consumer and helps the consumer set up a loan with regular set payments. What type of credit is this?
A.
Revolving credit
B.
A line of credit
C.
Noninstallment credit
D.
Installment credit
A.
Revolving credit
B.
A line of credit
C.
Noninstallment credit
D.
Installment credit
D. Installment credit
This type of credit involves regular set payments over a specified period, which is characteristic of installment credit.
How is a line of credit similar to a credit card?
A.
Interest is charged only on the amount you actually borrow.
B.
The interest rates are the same.
C.
They both require co-signers.
D.
Lenders don't check your credit score.
A.
Interest is charged only on the amount you actually borrow.
B.
The interest rates are the same.
C.
They both require co-signers.
D.
Lenders don't check your credit score.
A. Interest is charged only on the amount you actually borrow.
Both a line of credit and a credit card allow you to borrow up to a certain limit, and you are only charged interest on the amount you actually borrow, not the entire limit.
1 answer