1) Which term describes your bank account if the balance drops below £0? a) Under-balance b) Over-balance c) Overdraft d) Bank-draft 2) Which of the following forms of borrowing do you think has the highest risk associated with it? a) Loan shark b) Mortgage c) Credit card d) Payday loan 3) Why is your credit rating important? a) Lenders will consider your rating when deciding on whether to lend you money.  b) It can impact on the interest rates lenders set you. c) Your rating can affect how likely banks will be to give you a mortgage to buy a house. d) It lasts for six years. 4) Which of the following could have a negative impact on your credit rating? a) Having a credit card. b) Paying your mobile phone bill by Direct Debit. c) Living in the same address for a long time. d) Missed payments on a credit card. 5) Which of these is the most important bill to prioritise if you are in financial difficulties (pay first)? a) Council tax b) Broadband c) Water d) Digital TV Package

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