Test your financial literacy with Debt.com's personal finance quizzes
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Debt.com’s personal finance quizzes give you a fun and easy way to see if you’re as money-savvy as you think.

Financial literacy refers to the ability to understand key financial topics about debt, credit and money management. A high literacy level means you understand everything you need to know to manage your money effectively day to day. It’s also easier to overcome challenges as they arise.

Unfortunately, financial literacy isn’t a topic that’s covered in school. Most of us learn about finance from our parents, word of mouth and – even worse – trial and error. But waiting until something goes wrong is no way to learn.

That’s why Debt.com features personal finance quizzes like the ones you’ll find on this page. Interactive quizzes give you an easy way to test your knowledge, so you can know what you don’t know. We also have a general 10-question finance quiz at the bottom of the page to test your basic knowledge of debt and credit. If you find a topic you need to learn, visit Debt.com’s Education Center.

Take Debt.com’s Basic Personal Finance Quiz Now!

5 key questions about debt

Pop Quiz

At most, how much income should you use to make credit card payments?

a) No more than 10%

b) No more than 15%

c) No more than 20%

d) No more than 25%

Reveal Answer

If you use more than 10% of your take-home income to cover the minimum payments on your credit cards, you’re spending too much! Look into options for credit card debt consolidation.

a) No more than 10%

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Pop Quiz

True or False: Federal student loans are only given out based on need. If your income is too high, you won’t qualify for a federal student loan.

a) True

b) False

Reveal Answer

Income level determines if you qualify for subsidized federal student loans, where the government pays interest charges while you attend school. Anyone can qualify for federal aid; you just get unsubsidized loans if you income is high.

b) False

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Pop Quiz

Which if the following is not a solution to consolidate credit card debt?

a) Balance transfer credit card

b) Debt management program

c) Income-based repayment plan

d) Debt consolidation loan

Reveal Answer

Income-based repayment plans are a solution that only apply to federal student loan debt. Both balance transfers and consolidation loans are do-it-yourself solutions for credit card debt. A debt management program is a professionally assisted credit card debt consolidation plan.

c) Income-based repayment plan

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Pop Quiz

True or false: If you file a tax extension, you don’t need to worry about penalties or interest charges.

a) True

b) False

Reveal Answer

If you owe the IRS money during that filing year, penalty interest charges start the day after you filing was due (usually on April 16). This is true even if you file an extension. Interest charges on tax debt can go as high as 25%.

b) False

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Pop Quiz

True or False: Public Service Loan Forgiveness can erase your federal student loan debt balances, regardless of how much you owe, if you work in a public service profession like nursing or teaching.

a) True

b) False

Reveal Answer

You must make 120 qualified payments on a hardship-based repayment plan first, but then your remaining balances are forgiven, regardless of how much you owe. This also works for police officers, firefighters, EMTs and other public service professionals.

a) True

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If you missed any of these questions and want to learn more, visit our Debt Education Center.

5 key questions about credit

Pop Quiz

How long does Chapter 7 bankruptcy stay on your credit report?

a) 5 years

b) 7 years

c) 10 years

d) 15 years

Reveal Answer

The negative item created by a Chapter 7 bankruptcy remains on your credit report ten years from the date of final discharge. Chapter 13 bankruptcy, like most other penalties, only sticks around for seven years.

c) 10 years

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Pop Quiz

True or False: Checking your credit too often hurts your credit score.

a) True

b) False

Reveal Answer

Checking your own credit is considered a “soft” inquiry and these do not affect your score. Only “hard” inquiries where you authorize a bank or lender to run your credit can impact you credit score. Too many hard inquiries within a 6-month period is bad for your credit

b) False

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Pop Quiz

Which of the following would not damage your credit score

a) Making a payment 10 days late

b) Running your credit card up to its limit

c) Closing your oldest credit card because you don’t use it

d) Having an unpaid medical bill go to collections

Reveal Answer

Creditors only report late payments if you miss the payment by more than 30 days. If you just pay late, you incur penalties and added interest charges, but it should not negatively affect your credit as long as you pay within 30 days of the due date.

a) Making a payment 10 days late

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Pop Quiz

True or False: Every consumer has more than one credit report and more than one credit score.

a) True

b) False

Reveal Answer

Each credit bureau (there are three in the U.S.) maintains their own private version of your credit report. So, every consumer actually has three reports. Each consumer also has multiple credit scores, since FICO, the credit bureaus and other scoring companies each have their own model. FICO is used in 90% of lending decisions.

a) True

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Pop Quiz

What is the main goal of credit repair?

a) To bring credit card accounts into good standing

b) To avoid debt collections

c) To achieve an excellent credit score

d) To remove errors from your credit report

Reveal Answer

The main goal of credit repair is to dispute and remove errors or mistakes in your credit report. This many improve your credit score, too, but that’s more of a happy side effect than a primary goal.

d) To remove errors from your credit report

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If you missed any of these questions and want to learn more, visit our Credit Education Center.