10
QuizMultiple Choice

Financial Literacy — Test

Question 10 • Economics

Which is most likely to happen to consumers with good credit? Choose three correct answers.

Answer
A
They can be approved for loans.
B
They can receive lower interest rates.
C
They can use credit in emergencies.
D
They are denied an unsecured loan.
E
They are forced into high interest rates.
F
They are denied a mortgage.

Explanation

Good credit signals to lenders that a borrower is more likely to repay. As a result, consumers with good credit can often receive lower interest rates and are more likely to be approved for loans. Having access to credit can also help them cover unexpected expenses in an emergency.

AI-written and checked against the verified answer.

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