You recently had a conversation with your neighbour Ruth Ripoff about her problems with getting a loan. She mentioned, in the course of the conversation, that she had been turned down at least five times. Based on this information, what can you conclude about your neighbour?
A) Her credit history is neither positive or negative.
B) She has either high credit balances or unpaid credit.
C) She has not tried hard enough to secure a loan.
D) She has an excellent credit history.

Question

Quizplus · Accepted Answer

If Ruth Ripoff has been turned down for a loan at least five times, it indicates that there is something negative about her credit history. Some possible reasons could include high credit balances or unpaid credit, which would make it harder for her to qualify for a loan. However, it is not possible to determine the exact cause based on this information alone. Option D, that she has an excellent credit history, is unlikely given that she has been turned down multiple times. Option A, that her credit history is neutral, is also possible but less likely given that she has been denied loans multiple times. Option C, that she has not tried hard enough, is not a viable conclusion without having more information about Ruth's situation.

You Recently Had a Conversation with Your Neighbour Ruth Ripoff