Question

1. credit card companies charge stores a 2 - 3% fee for every purchase made with credit cards. this is called a(n)...

merchant fee
cash advance fee
annual fee
over - the - limit fee

1. what is the best way to avoid falling into debt?

use credit to pay for large expenses now so that you have plenty of time to pay it off.
only buy things that you can purchase with cash.
use airline miles earned through a credit card to help pay for a vacation.
take out a small loan for any purchases over $1,000.

Explanation:

1. Credit card companies charge stores a fee for credit - card transactions, which is called a merchant fee. Cash advance fee is for taking cash from a credit card, annual fee is a yearly charge, and over - the - limit fee is for exceeding the credit limit.
2. Using credit for large expenses can lead to debt due to interest. Using airline miles doesn't avoid debt. Taking out a loan for purchases increases debt. Buying only with cash ensures no debt is incurred.

Answer:

1. Merchant fee
2. Only buy things that you can purchase with cash.