multiple choice\n1. what are the two most important factors in calculating your credit score?\n a. payment…

multiple choice\n1. what are the two most important factors in calculating your credit score?\n a. payment history and types of accounts\n b. amounts owed and length of credit history\n c. payment history and total debt\n d. length of credit history and new credit inquiries\n2. heather realized she has taken out too much debt and it has started to negatively impact her ability to budget. she has decided to pay off this debt in full as soon as possible. all of the following would be beneficial strategies except...\n a. reducing spending by canceling some of her streaming subscriptions\n b. taking extra shifts at work to increase her income\n c. making more than the minimum required payment on her debt\n d. applying for another credit card to use in case she runs out of cash paying off her debt\n3. theo has significant debt and is considering filing for chapter 7 bankruptcy. he should try all of the following strategies before filing for bankruptcy, except...\n a. meeting with a credit counselor\n b. paying a debt settlement company\n c. using a debt repayment strategy, like the snowball or high rate method\n d. setting up a debt management plan

multiple choice\n1. what are the two most important factors in calculating your credit score?\n a. payment history and types of accounts\n b. amounts owed and length of credit history\n c. payment history and total debt\n d. length of credit history and new credit inquiries\n2. heather realized she has taken out too much debt and it has started to negatively impact her ability to budget. she has decided to pay off this debt in full as soon as possible. all of the following would be beneficial strategies except...\n a. reducing spending by canceling some of her streaming subscriptions\n b. taking extra shifts at work to increase her income\n c. making more than the minimum required payment on her debt\n d. applying for another credit card to use in case she runs out of cash paying off her debt\n3. theo has significant debt and is considering filing for chapter 7 bankruptcy. he should try all of the following strategies before filing for bankruptcy, except...\n a. meeting with a credit counselor\n b. paying a debt settlement company\n c. using a debt repayment strategy, like the snowball or high rate method\n d. setting up a debt management plan

Answer

Brief Explanations:

  1. Payment history and amounts owed are major factors in credit - score calculation. Payment history shows reliability in repaying debts, and amounts owed reflect credit utilization.
  2. Applying for another credit card when already in debt can lead to more debt and financial trouble. Reducing spending, increasing income, and making more than minimum payments are good debt - repayment strategies.
  3. Paying a debt settlement company can be risky as some are unethical and may not deliver on their promises. Meeting with a credit counselor, using debt - repayment strategies, and setting up a debt management plan are more legitimate pre - bankruptcy steps.

Answer:

  1. c. Payment history and total debt
  2. d. Applying for another credit card to use in case she runs out of cash paying off her debt
  3. b. Paying a debt settlement company