Questions from Personal Finance

Q: List five tips for using credit cards wisely.

List five tips for using credit cards wisely.

Q: Why is paying your credit card balance in full so important?

Why is paying your credit card balance in full so important? What should you do if you can’t avoid credit card debt? Explain.

Q: What are the three methods used by financial institutions to calculate finance

What are the three methods used by financial institutions to calculate finance charges on outstanding credit card balances? Briefly describe how interest is computed under each method.

Q: Explain how you can impose your own limits on credit card spending

Explain how you can impose your own limits on credit card spending.

Q: Describe some of the key provisions of the Credit CARD Act.

Describe some of the key provisions of the Credit CARD Act.

Q: Describe the role of the Consumer Financial Protection Bureau.

Describe the role of the Consumer Financial Protection Bureau.

Q: How does a secured credit card differ from a standard credit card

How does a secured credit card differ from a standard credit card? Under what circumstances would you need a secured credit card?

Q: What is overlimit protection? Explain why consumers should use this feature

What is overlimit protection? Explain why consumers should use this feature sparingly.

Q: Explain how the Credit CARD Act changed the way credit card issuers

Explain how the Credit CARD Act changed the way credit card issuers assess late fees.

Q: Explain why getting a cash advance on your credit card is a

Explain why getting a cash advance on your credit card is a costly source of funds.