Insurance
The amount of money you pay on an insurance claim before the company will pay its part.
What is a deductible?
The amount on deposit or borrowed.
What is principal?
The costs to create the loan, appraise the property, record the deed, etc.
What are closing costs?
A carefully designed projection of expected income and expenditures.
What is a budget?
Amount on which income tax for the year is computed.
What is taxable income?
Amount paid by the policy holder for insurance coverage.
What is a premium?
Lending practice of using exact time with ordinary interest.
What is Banker's Rule?
The amount of the house's value that you own?
What is equity?
Gross pay minus taxes withheld and tithe.
What is disposable income?
A person for whom the taxpayer furnished at least half of the support for a year.
What is a dependent?
The contract between the insured and the insurer stating the premium, the coverage, and the term?
What is a policy?
A loan that consists of equal payments spaced out over equal intervals of time, but the principal; you pay each time increases from month to month.
What is an amortized loan?
Spend no more than one-fourth of your monthly gross income on housing?
What is the Gross Income Rule of Housing?
A percentage of the total cost that you must pay for out of pocket?
What is a down payment?
Tax-free income based on a list of qualifying expenditures.
What is itemized deductions?
A type of insurance that covers bodily injury and property damage you cause to others?
What is liability?
Rule that states that debt should not exceed a certain amount of the annual salary.
What is the 2.5 Rule of Indebtedness?
The amount of money you still owe on your home loan at a given time?
What is outstanding balance?
Decrease in value over time.
What is depreciation?
a tax in which higher levels of taxable income pay a higher percentage rate of tax.
What is a graduated tax?
A monthly retirement benefit received from Social Security.
What is primary insurance amount (PIA)?
A lender reduces the face value of the loan as prepaid interest.
What are points?
A special fund set up to pay the taxes and insurance when buying a house?
What is escrow?
Three types of automobile insurance coverage.
What is Liability, Collision, Comprehensive?
The wage and tax statement that an employee receives from the employer and files with his return.
What is a W-2?