Title: QUIZ: Credit Cards: The Trillion-Dollar Debt -- Page One Economics®
Course: Kelly's Copying and Exporting Course > Section: Credit Cards: The Trillion-Dollar Debt -- Page One Economics®

Q: Which of the following is true?
- All credit cards charge the same interest rate for purchases.
- The APR can never change after a new account is established.
- If the minimum payment is paid, no interest will be charged.
- Credit card statements will include the payment due date.
A: Credit card statements will include the payment due date.

Q: The U.S. $1 trillion credit card debt
- came during the pandemic when businesses were closed.
- was predictable because of lower interest rates beginning in 2022.
- was created because of credit card laws that protect businesses from loss.
- was identified in the third quarter of 2023 and became headline news.
A: was identified in the third quarter of 2023 and became headline news.

Q: Credit card interest rates
- are always the same for new accounts and established accounts.
- are usually higher than for other loans because no collateral is required.
- do not affect the total amount of national credit card debt.
- are determined based on The Equal Credit Opportunity Act of 1974.
A: are usually higher than for other loans because no collateral is required.

Q: Inflation
- is not a concern for consumers and credit card companies.
- is the increase in the average price of many goods and services.
- is not a factor in the $1 trillion credit card debt.
- does not affect the dollar amount of credit card charges.
A: is the increase in the average price of many goods and services.

Q: The Credit CARD Act
- was passed to assess the creditworthiness of cardholders.
- protects cardholders from deception by card issuers.
- prevents credit cardholders from mismanaging their accounts.
- was passed in the same year the Diners Club card was invented.
A: protects cardholders from deception by card issuers.

Q: When a credit cardholder carries a balance and pays only the minimum amount on the due date each month,
- no interest will be charged to the account.
- interest will be charged on the remaining balance.
- it will take less time to pay off the account.
- the cardholder determines the amount of the minimum payment.
A: interest will be charged on the remaining balance.

Q: When consumers pay off their balances in full each month, no interest is charged.
- True
- False
A: True

Q: The number of credit card accounts in 2023 is less than the number of accounts in 2019.
- True
- False
A: False

Q: Making the minimum payment on a credit card statement, instead of paying the balance in full, means you will pay additional interest charges and take a longer time to pay off the balance.
- True
- False
A: True

Q: The U.S. $1 trillion credit card debt was first reported in 2020.
- True
- False
A: False