Which of the following is true of credit cards? (1 point) Responses You cannot use them to buy something that costs more money that you have in the bank. You cannot use them to buy something that costs more money that you have in the bank. They generally charge 3% to 5% interest. They generally charge 3% to 5% interest. When you use them, you never really know how much you owe. When you use them, you never really know how much you owe. They can be used to make online purchases.
They can be used to make online purchases.
The statement that is true of credit cards is: They can be used to make online purchases.
The statement that is true of credit cards is, "They can be used to make online purchases."
To confirm this answer, we can look at the features and functions of credit cards. Credit cards allow individuals to borrow money from a financial institution, called the credit card issuer, up to a certain credit limit. This borrowed amount can be used to make purchases, including online purchases. When making an online purchase, you can typically enter your credit card details, including the card number, expiration date, and security code to complete the transaction.
To check the accuracy of the other statements:
- "You cannot use them to buy something that costs more money than you have in the bank" is false. Credit cards allow you to spend more money than you currently have in your bank account, up to the credit limit set by the issuer.
- "They generally charge 3% to 5% interest" is partially true. Credit cards can indeed charge interest on the balance carried over from month to month, but the interest rate can vary widely, depending on the specific terms of the credit card agreement.
- "When you use them, you never really know how much you owe" is false. Credit card statements provide a breakdown of all your transactions and the outstanding balance, allowing you to keep track of your expenses and how much you owe.
Therefore, the correct statement is that credit cards can be used to make online purchases.