ECONOMICS
CREDIT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Using credit cards
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Taking out a mortgage on a house
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Getting a personal loan from a bank
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Paying cash for all purchases
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Detailed explanation-1: -Which of following is not a factor in determining a FICO score? Paying cash for all purchases. Which of the following is not a good idea for getting out of debt? Borrow money from your parents to pay for the debt.
Detailed explanation-2: -FICO® Scores consider a wide range of information on your credit report. However, they do not consider: Your race, color, religion, national origin, sex and marital status.
Detailed explanation-3: -FICO Scores are calculated using many different pieces of credit data in your credit report. This data is grouped into five categories: payment history (35%), amounts owed (30%), length of credit history (15%), new credit (10%) and credit mix (10%).
Detailed explanation-4: -Since your credit files never include your race, gender, marital status, education level, religion, political party or income, those details can’t be factored into your credit scores.
Detailed explanation-5: -Payment history. Amounts owed. Length of credit history. New credit. Credit mix. 30-Dec-2022