4
QuizMultiple Choice

Financial Responsibility

Question 4 • Personal Finance - EL3403

Which is a short-term consequence of making a late payment on your bill?

Answer
A
It will be harder to buy a house because it affects your credit history.
B
There will be a late fee added to the bill.
C
It will be harder to secure a new loan at a low rate.
D
The bank will charge a fee for having a negative balance.

Explanation

A late payment can lead to an immediate late fee being added to the bill, so the correct choice is “There will be a late fee added to the bill.” Difficulty buying a house or getting a low-rate loan can result from longer-term effects on credit history. A fee for a negative balance applies when an account has insufficient funds, not simply because a bill is paid late.

AI-written and checked against the verified answer.

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