College Students Are Not a Prime Target for Credit Card

question 130

True/False

College students are not a prime target for credit card issuers.

---

Definitions:

Equivalent Taxable Yield

The pretax yield on a taxable bond providing an after-tax yield equal to the rate on a tax-exempt municipal bond.

Yield to Maturity

The total return anticipated on a bond if the bond is held until it matures, including all interest payments and the return of principal.

Treasury Securities

Reiteration of U.S. Treasuries, but emphasizing these are safe, low-risk investment products backed by the full faith and credit of the U.S. government, including Treasury bonds, notes, and bills.

Bond Equivalent Yield

Bond yield calculated on an annual percentage rate method. Differs from effective annual yield.