Credit Management & Credit Cards

Property pledged to assure repayment of a loan

A legal business that makes loans based on the value of possessions pledged as collateral

Complete record of your borrowing and repayment performance

A debtor is a person who borrows money from other

_________ scores are the credit scores many lenders use to determine credit risk.

The value of property you possess

A person or company hired by a creditor to collect the over due balance on an account

A business that gathers, stores, and sells credit information

___________________ are unlicensed lenders who charge illegal interest rates.

Following an individual plan for using credit wisely is called __________________ .

A legal process that relieves debtors of the responsibility of paying their debts.

A credit bureau is a nonprofit company establised by members for the benefit of members

________________ is often called straight bankruptcy proceeding.

True or False:  An advantage of using credit is impulse buying.

Who is this?

An excellent credit rating

A deposit or _____________________ is often made when purchasing a large or expensive item.

B-credit rating means?

A-credit rating means?

A determination that you are a good credit risk

The ___________ Rule suggest that consumers use no more than 20% of yearly take-home pay.

True or False:  A steady employment record helps a person's credit history.

Utility companies and medical service organizations commonly offer _______________ credit.

Total of assigned points used to determine the likelihood that you will repay debt as agreed

What does the equation I = P x R x T also know as?

The total dollar amount of interest and fees you pay for the use of credit

A deposit or _________________ is often made when purchasing a large or expensive item.

__________________ is for businesses and attempts to reorganize the debt structure.

A timeframe within which you may pay for your balance in full and incur no interest charges

A measure of creditworthiness based on  an analysis of your credit and financial history

A written statement of a consumer’s credit history

The amount above what you owe, but below your maximum credit limit, is called _________ credit.

Someone who promises to pay if the borrower fails to pay

A _____________ credit rating is likely to result in denial of new credit.

 A person who borrows money

Money paid for the use of someone's else's money is called _______________ .

The interest you pay for the use of credit is called a __________________.

________________ is often called the wage earner's plan.

True or False: Capital refers to a person's assets. 

The total amount that is financed or borrowed, in which interest is computed, is called _____ .

The percentage of interest you will pay on a loan is called ______________ .

To pay your bills on the due date or soon after is to earn a(n) ________ credit rating

A person or business that loans money to others

A ______________________ is money borrowed against the credit card limit.

The financial ability to repay a loan from a present income

The use of someone else’s money, borrowed now with the agreement to pay it back later

What do the letters APR stand for?

A good credit rating