Question 1

Question

A) After reading both articles, what is one way credit card companies make money? (1 point)
By selling credit cards in stores
By charging fees when customers don’t pay back borrowed money
By offering rewards points to customers
By giving away free credit card machines
B) According to the article "A Big Credit Card Buy," why might Elizabeth Warren be concerned
about the deal between Capital One and Discover? (1 point)
She believes it could harm competition and lead to higher fees for customers.
She thinks Discover has too many customers for Capital One to handle.
She is worried about the companies not having enough money for the deal.
She believes the deal will increase competition and harm smaller companies.
C) In the article "All About Credit Cards," how does Matt Schulz's advice about using credit
cards demonstrate responsible financial habits? (1 point)
He encourages avoiding credit cards entirely to stay out of debt.
He suggests learning how credit cards work before getting one and paying off debt quickly if it
occurs.
He recommends using credit cards for expensive purchases only.
He advises borrowing as much as possible to build good credit quickly

Answer 1

A) One way credit card companies make money is by charging fees when customers don’t pay back borrowed money.

B) Elizabeth Warren might be concerned about the deal between Capital One and Discover because she believes it could harm competition and lead to higher fees for customers.

C) Matt Schulz's advice about using credit cards demonstrates responsible financial habits by suggesting learning how credit cards work before getting one and paying off debt quickly if it occurs.

Answer 2

D) Which of the following statements is a key message shared in both articles? (1 point)
Credit cards can be very helpful when used correctly, but they can lead to serious financial
problems if not managed properly
Credit card companies should not be allowed to charge interest on unpaid balances
Credit cards are only useful for in-person shopping
Credit card deals will always be approved by U.S. officials without concern for consumers
E) Which of the following is a common concern expressed in both articles? (1 point)
Credit cards are always beneficial and easy to use
Not paying back credit card debt can lead to high fees
Credit cards are only used in stores, not online
The U.S. government is planning to regulate credit card companie

Answer 3

D) A key message shared in both articles is that credit cards can be very helpful when used correctly, but they can lead to serious financial problems if not managed properly.

E) A common concern expressed in both articles is that not paying back credit card debt can lead to high fees.

Answer 4

What was the combined total of purchases by Capital One Discover customers in 2022?
(1 point)
210.7 billion dollars
323.8 billion dollars
745.2 billion dollars
534.5 billion dollars
G) Using what you've previously learned in Live Lesson regarding credit cards and loans, which
of the following is a key difference between using a credit card and getting a loan? (1 point)
With a credit card, you have to pay the full amount back all at once, while a loan allows you to pay
back smaller amounts over time.
A credit card gives you money upfront, while a loan gives you a card to make purchases.
Credit cards usually have a fixed amount of money you can borrow, while loans let you borrow as
much as you want.
Loans are used for small purchases, while credit cards are used for large purchases

Answer 5

The combined total of purchases by Capital One and Discover customers in 2022 was 745.2 billion dollars.

G) A key difference between using a credit card and getting a loan is that with a credit card, you have to pay the full amount back all at once, while a loan allows you to pay back smaller amounts over time.