Chapter 4- True Or Flase

Question 1

Debt consolidation is wise

Answer 1

False

Question 2

You need a credit card to rent a car

Answer 2

False

Question 3

Buying used cars is a good way to minimize depreciation

Answer 3

True

Question 4

A typical millionaire drives new cars

Answer 4

False

Question 5

The elderly are the number one target of credit card companies

Answer 5

False

Question 6

Co-signing a loan is a way to help out a friend or relative

Answer 6

False

Question 7

The lottery is a tax on the poor and on people who can’t do math

Answer 7

True

Question 8

Home equity loans are a good way to consolidate debt

Answer 8

False

Question 9

It is never wise to take out an ARM or balloon mortgage

Answer 9

True

Question 10

Paying off the balance of your credit each month is an acceptable use of credit

Answer 10

False

Question 11

The best way to teach teenagers about money is to give them a credit card

Answer 11

False

Question 12

It is best to attack your debt by consolidating many payments into one

Answer 12

False

Question 13

Carrying cash results in an increase of spending versus paying with credit

Answer 13

False