Ohio Student Loans Financial Education Test Results

52%

Average Score of 51.67% to Date

17.84%

Percentage of Passing Scores to Date

-5.14%

Δ: Change in Averages from 2021: -5.14%

0
Participants to Date

Statistics by Answer

Question 1.

Loan payments are based on:

1.72% - APR

2

3.28% - Interest Rate

3

1.60% - Length of the loan

2

54.33% - B & C only

55

39.08% - All of the above

39

Question 2.

If the current inflation rate is at 3%…

10.11% - Investments in securities (stock market, mutual funds) adjust to market conditions by 3%

10

2.73% - 401k plans adjust to market conditions by 3%

3

72.40% - My net income needs to increase by 3% to maintain my current lifestyle.

72

9.04% - My savings need to increase by 3% to maintain my current lifestyle

9

5.72% - Uncertain

6

Question 3.

If you are unable to pay off the entire balance you owe in credit card debt, the best way to pay off the balance is to _____.

16.83% - Pay more than the minimum monthly payments on all your credit cards

17

11.49% - Pay off the card with the lowest balance first

12

64.10% - Pay the maximum your budget allows on the card with the highest interest rate.

64

6.08% - Pay the maximum payment on the card with the highest balance

6

1.50% - Uncertain

2

Question 4.

If inflation is at 2%, in what option below are you most likely to lose 2% purchasing power?

3.99% - Stock market

4

2.54% - Real estate

3

56.85% - Cash

57

3.81% - Commodities

4

2.26% - Bonds

2

28.43% - All of the above

28

2.13% - Uncertain

2

Question 5.

What is risk-based pricing?

3.68% - The cost of the deductible and premium added together

4

10.61% - The amount of money the insurance company pays toward your claim and the adjustment to your interest rate made by your lender

11

68.30% - Basing your insurance or loan pricing on the risk you pose to the company.

69

14.13% - All of the above

14

3.28% - Uncertain

3

Question 6.

Which of the following categories influence your FICO score?

1.61% - Outstanding debt

2

3.3% - Payment history

3

2.23% - Types of credit used

2

28.89% - A & B only

29

62.14% - All of the above

62

1.84% - Uncertain

2

Question 7.

What four main areas do lenders review to qualify a loan applicant?

6.76% - Credit, cash, education, and income

7

58.64% - Equity, credit history, assets, and debt-to-income ratio

59

8.57% - Equity, cash on hand, asset report scoring, and debt-to-income ratio

9

24.53% - Liquidity, credit history, asset report scoring, and debt-to-income ratio

25

1.51% - Uncertain

2

Question 8.

The biggest risk of owning long-term bonds for capital preservation is:

20.48% - Falling interest rates

21

50.8% - Rising interest rates

51

17.76% - Falling dollar

18

5.57% - Rising dollar

6

2.36% - Real estate valuation

2

3.03% - Uncertain

3

“With the rapid decline of defined benefit pension plans, reduction of social security benefits, and more complex investment options it is vital that people possess the financial knowledge they need to make qualified investment decisions. There is a multitrillion-dollar retirement funding gap in the US today, and this test demonstrates that the average person lacks sufficient knowledge to properly plan for their golden years. ”

– Vince Shorb, CEO
National Financial Educators Council