Question
A term used to describe someone with little to no credit history Bankruptcy Annual Pe Percentage Rate (APR) Thin File High Rate Method
Solution
4.7
(226 Votes)
Donovan
Elite · Tutor for 8 years
Answer
Thin File
Explanation
This question asks for a term that describes someone who has little or no credit history. Experience with financial terms helps in analyzing possible answers:1. Bankruptcy - This refers to the legal process where a person or business that cannot repay their outstanding debts declared by someone. It does not specifically refer to having little to no credit history.2. Annual Percentage Rate (APR) - This term refers to an annual rate charged for borrowing or earned through an investment, including fees.3. Thin file - A credit file is the record of an individual's prior borrowing and repayments, held by potential lenders. A "thin" file is one where someone has little or no credit history — ideally matching the question.4. High rate method - It is not accepted financial terminology and thus is not an appropriate answer.5. Alomond and Ivhreon - Generally, these are not known or common financial terms.Therefore, the term that meets the requirement is a "thin file".