Debt: Product, Not Privilege
70%
What percentage of Americans live paycheck to paycheck?
A person's credit score calculated with software from Fair Isaac Corporation.
What is a FICO score?
A call from a collection agency about a debt that did not occur, late bank and billing statements, and credit reports of accounts you did not open are all signs of ________________.
What is identity theft?
Two types of loans: A loan where the interest rate doesn't fluctuate during the set rate period of the loan. The other is a loan in which the interest rate does fluctuate.
What is a fixed rate loan and a variable rate loan?
Get out of debt
What is the second foundation?
A yearly fee that's charged by the credit card company for the convenience of the credit card.
What is an Annual Fee?
These three institutions are examples of credit bureaus.
What are Experian, Equifax, and TransUnion?
Beginning with smaller debts, and then working your way to pay off larger debts.
What is the Debt Snowball effect?
According to Dave Ramsey, what is the most successfully marketed product in history?
What is debt?
Double Jeopardy: This is a U.S. Federal Agency that regulate the consumer credit system and enforce the laws related to it.
What is the FTC?
Double Jeopardy if both are correct: These two factors are the difference between a secured loan and an unsecured loan.
What is collateral (for secured loans) and higher fees/interest rates (for unsecured loans)?
The myth that you have to have this to get a mortgage and move on in life.
What is a credit score?
Double Jeopardy: Cost of borrowing money on an annual basis; takes into account the interests rate and other related fees.
What is APR?
True or False: Under the Fair Credit Reporting Act (FCRA), any person or organization may check a person's credit info without having a specific need.
What is true?
The type of loan when a person owes more on an item like a house than what it's actually worth.
What is upside down?
1. Quit borrowing money 2. You must save money 3. Sell something 4. Get a part-time job or work overtime (temporarily) 5. Use the debt snowball method
What are the steps to get out of debt?
This is the amount of time FCRA allows for people to receive a free credit report.
What is once a year (or every 12 months)?
This is the length of time that information like chapter 7 bankruptcy stays on your credit report.
What is ten years?
A court ordered attachment that allows a lender to take money owed directly from a borrower's paycheck.
What is paycheck garnishment?