Borrower's ability to earn enough to make debt payments.
What is capacity?
100
Legal arrangements to deal with the affairs of individuals unable to pay their debts.
What is bankruptcy.
100
Loan secured by the owner's equity in the home.
What is home equity loan?
100
Consumer loan for the purchase of a home or other building where the building is collateral.
What is mortgage?
200
American credit card debt is around...
What is $8,000?
200
A smart strategy of using a credit card is...
What is pay the full balance each month to avoid credit charges?
200
Lenders that finance purchases for the consumer through retailers.
What are sales finance companies?
200
Loan extended to a business.
What is commercial credit?
200
Unauthorized use of another person's social security number, birth date, driver's license number, or other identifying information to obtain credit cards, car loans, phone plans, etc.
What is identity theft?
300
Type of account in which the consumer is not required to pay off the balance before making new purchases.
What is revolving credit?
300
fraudulent practice in which charges are billed when no purchases were made.
What is cramming?
300
What are the three c's of credit?
What is character, capacity, and capital.
300
Statement by a credit bureau that gives the credit history of a consumer.
What is credit report.
300
Amount of money borrowed from a lender.
What is principal?
400
Value of a business or property after debts and mortgages are subtracted.
What is equity?
400
Three types of credit card fraud:
What is fraud by credit card companies, sellers, and other people.
400
When you become overextended what three things can happen?
What is your property may be repossessed, your wages may be garnished, and you may be forced into bankruptcy.
400
Look carefully at your monthly budget, make sure your paycheck isn't all going to paying off credit card debt, save some emergency money for car repairs, set a schedule for paying off the new debt is...
What is ways to live within your means.
400
Your credit scores come from four areas:
What is employment, housing, assets, credit history.
500
What are the three advantages of using credit?
What is if you don't have ready cash, using credit may help you save money, and credit comes in handy.
500
For all the convenience credit cards, provide there are costs to you that are not obvious at first glance. What are they?
What is annual fees, interest charges, grace period, and fees, fees, and more fees.
500
What are the three types of loans?
What is car, education, and home.
500
Three disadvantages of using credit.
What is credit makes it easier to overspend, very little money in this world comes free, and when you buy many things on credit, payments sometimes pile up.
500
Often the most costly part of having a credit are the fees and penalty interest rates that go along with it. these include:
What is late fee, over-the-limit fee, and penalty interest rates.