Author Question: List three factors that influence your credit score.[br][br][b][color=black]Question ... (Read 113 times)

JGIBBSON · **on:** Jun 24, 2018

List three factors that influence your credit score.

Question 2

Describe how to calculate total finance charges on a credit card when there is a purchase balance and a cash advance balance using a daily periodic rate and the average daily balance method.

johnpizzaz · **Reply #1 on:** Jun 24, 2018

Answer to Question 1

length of credit history, new credit, types of credit used, amounts owed, and payment history

Answer to Question 2

Calculate the periodic rate for purchases and cash advances by dividing each APR by 365 days and convert to a decimal. Calculate the periodic finance charges for purchases by multiplying the average daily balance by the periodic rate by the number of days in the month. Calculate the periodic finance charges for cash advances by multiplying the cash advance balance by the periodic rate by the number of days the cash advance has been held. Sum the purchase finance charges, cash advance finance charges, and any cash advance fees.