Loans
What is a loan shark
someone who charges higher interest rates for loans
Money owed to another person or company
Debt
Which factor is the greatest when looking at a credit score?
Payment History
The most common type of bank that offers veriety of services.
Retail banks
Best for managing day-to-day expenses.
Checking account
What is a mortgage
Someone who buys a house with a credit card and pays it in 15-30 years
Failure to repay a loan on time
Default
What range of credit is considered good?
670-739
Bank which has almost all it's services based online.
Online banking
What earns interest on deposited money.
Savings account
What type of loans are usually not offered in banks?
Payday loans
Buying anything without planning to do so in advance
Impulse Buying
What is the lowest you can have on a credit score?
300
Which type of bank most commonly has you meet some type of criteria to be able to apply for it?
Credit Unions
To offer higher interest rates than regular savings accounts.
Money market account/ High Yield Savings
What allows you to borrow money and pay it back over time, usually with interest?
Loan
When the value of an asset falls below what is owed on it
Negative Equity
What type of agencies gather credit information and history?
Credit bureaus
Which types of insured federal agencies should you look for when choosing a bank?
FDIC or NCUA
What average interest rate for a credit card
21%
What is a principal?
Buying anything without planning to do so in advance
Something owned (that has value) offered as security on a debt; if the debt is not repaid as agreed, the item is forfeited to the lender
Collateral
How does having a higher credit score effect the interest you get from loans?
The interest for loans are less with higher credit.
Financial service that is not provided by banks?
Health Insurance Coverage
What is Certificate of deposit (CD)
Typically requires you to keep money in the account for a fixed period of time.