Aussies quizzed on credit card awareness

Aussies are being invited to take a new quiz testing them on their knowledge of money management, including credit cards.

Devised by Dr Karen Alpert and Dr Darren Lee from University of Queensland's Business School, the test aims to gauge people's financial literacy, something they suggest is of particular importance in the current economic climate.

Dr Lee states: "In this economic environment you really have to understand what is happening to your money and if you're not managing it yourself you need to know if others are doing so in your best interests."

Among its questions, the quiz asks people whether a credit card at 17 per cent interest would be more expensive if charges were compounded weekly, monthly or an annual basis.

In addition, those taking the test are also asked to consider the best ways of repaying their credit card debt in the face of other financial commitments they will face further down the line, as well as areas such as tax returns and savings bonds.

Those wishing to improve their financial awareness may also be interested in recent comments by Wayne Matters, chief financial officer for Community CPS Australia, who urged Aussie credit card holders to do as much as possible to ensure they repay any money as quickly as possible.

Improve your credit card knowledge.