Teaching Landlords to Find Their Quality Tenant!

1. What’s the single biggest single factor is establishing good credit?
   a. owing lots of money
   b. paying your bills on time
   c. having a large income
   
2. Buying a new car with financing will increase/decrease your ability to buy a new house?
   a. increase
   b. decrease
   
3. Mortgage companies prefer ____ line(s) of credit to evaluate credit worthiness?
   a. 0
   b. 1
   c. 3
   
4. Having credit cards with high balances and making the payments on time will increase/decrease your credit score?
   a. increase
   b. decrease
   
5. There are (is) ____ credit bureau(s)?
   a. 1
   b. 3
   c. 7
   
6. The different credit bureaus use the same/different algorithms to compute your credit score
   a. same
   b. different
   
7. Late payments appear on your credit report for __________ years?
   a. 1
   b. 2
   c. 3
   
8. Bankruptcy appears on your credit report for __________ years?
   a. 5
   b. 7
   c. 10
   d. forever
   
9. Applying for credit will affect your credit score?
   a. true
   b. false
   
10. If an account is placed for collection, it is removed from your credit report once it’s paid off.
    a. true
    b. false
    
11. Your credit score is a measure of ________?
    a. your risk as a borrower
    b. your financial health
    c. your net worth
    d. all of the above

Answers: 1.b. Paying your bills when due is the single biggest factor in achieving a high credit score. 2.b decrease. 3.c. three credit lines or more is preferred but not absolutely necessary. 4.b. High debts reduce your credit score. 5.b Three credit bureaus. 6.a. The three credit bureaus have recently switched so that all 3 are using the same method to calculate score; scores still vary due to differing databases. 7.b. 2 years. 8.b/c chapter 13 appears for seven years and chapter 7 for ten years. 9.a. applying for credit reduces your credit score. 10.b. false. 11.a. creditors view your score in terms of risk – the lower the score, the greater the risk, and the higher the interest rate and down payment required.