Question

Garth was amazed to hear that his friend Lindsey always pays off her credit card balance each month. Garth just assumed that everyone used credit cards the same way​ - buy​ now, pay later​ - only in his​ case, months later. He buys almost everything he needs or​ wants, including​ clothes, food, and entertainment with his card. When Lindsey asked him about the balance calculation​ method, APR, grace​ period, or other fees and features of his​ card, Garth was clueless. He reasoned that his credit card was a safe and convenient way to shop and it allowed him to buy expensive items by paying minimum monthly payments.​ Overall, Garth thought of himself as a responsible credit​ user, despite the fact he had been late making a few monthly​ payments, and, once or​ twice, had gone over his credit limit. He also uses his card regularly to obtain cash advances. After hearing all of​ this, Lindsey is worried about her friend. She has come to you for help in answering the following questions. a. What type of credit user is​ Garth? Based on your​ answer, what is the number one factor that should influence​ Garth's choice of a credit​ card?

Answer 1

Answer:

Garth is a "REVOLVER "

Explanation:

Garth is a "Revolver" type of credit user, because he  doesn't pay up the  monthly payments on his card in full and on time, instead he carries debts over to the other months by paying in monthly installments

Based on the type of credit user Garth is, when picking up a credit card Garth should consider going for credit cards with low interest rate/APR charges and a longer grace period as well.