Bills, Bills, Bills! Trivia Quiz

Answer: Annual Percentage Rate

Annual Percentage Rate is perhaps the most important factor to consider when selecting a credit card. It indicates how much the bank is going to charge you for the privilege of using a credit card. Shop around and get the best rate, then make sure it's not just an introductory rate that will shoot up after 6 months. Don't be afraid to ask questions BEFORE buying that widescreen TV!

Answer: Personal Identification Number

You should never write your PIN anywhere in your purse or wallet. Otherwise if you lose it or it is stolen, the thief will be able to use your PIN with your card to empty your bank account in no time at all! To be safe, choose a PIN that you can easily commit to memory. Or bring cash!

Answer: Credit Bureau

In the US, credit bureaus have become more and more influential as the country becomes more and more of a cashless society. You are legally entitled to inspect your credit report and respond to any inaccuracies you may find therein. Under the terms of the Patriot Act, your personal credit history may indeed be expropriated by government agencies.

Answer: Electronic funds transfer (EFT)

This can be a handy way to pay bills. Sometimes you can get a lower interest rate on a loan by choosing this option, and there's no envelopes or stamps to deal with. But unless you have a steady job, and a good cash flow (or overdraw account), it can be risky, because you will not have the reminder of a monthly statement arriving in the mail.

Answer: Overdrawn

Do whatever you can to avoid overdrawing a checking account. Bank charges for overdrawn accounts are exorbitant. And yes, it is usually unfair, since the last thing you need if you have money troubles, are more expenses. Banks can be heartless this way, so curb your expenses as much as possible to avoid this unfortunate situation. Draw up a budget, use thrift stores, sell your unwanted stuff, get a second job.

Then keep careful records of your spending. You don't want to overdraw!

Answer: Your check bounced

Checks bounce when they are presented for payment to the bank and there are insufficient funds to cover them. This causes your account to become overdrawn (see question 5, above).

Answer: Rent or mortgage payment

This is a good recommendation. It is tempting to buy (or rent) the biggest and fanciest house you can get (and home lenders are often willing to finance a larger home than you can realistically afford). But when you add in transportation, food, clothes, utility bills and other expenses, it can be tough to make that payment. You don't want to default on a mortgage payment, so your best bet is caution. Be realistic about the kind of housing you can afford.

It all goes on your credit record (see Question 3).

Answer: Pressing "0" on your phone keypad

Even if the "0" option is not given as a menu option (or it is presented later on), you can often get a CSR (customer service representative) by simply pressing "0". If that doesn't work, try "9". If that doesn't work, well, go ahead and scream.

Answer: Term, Interest Rate, Monthly Payment

Consumers are often persuaded by highly sophisticated advertising to buy what they cannot afford and do not need. Instead of looking at the bottom line: term, interest rate and monthly payment -- and cautiously weighing out actual costs against their income -- they are swayed by advertising, packaging and marketing appeals. Let the buyer beware!

Answer: Send them the money on time

"Remit" means to send. Billing is usually done in 30 day cycles. If you want to make sure you won't be charged a late fee, send the payment as soon as possible after receving the statement. And always send a check or money order with the account number written on it, never cash.