Loan Basics
money that is borrowed and expected to be paid
loan
type of loan that has extremely high interest rates
payday loan
a numeric score of how trustworthy you are
credit score
type of card that you can use to buy things without having the money
credit card
type of economic system in which the government controls everything
command economy
the extra money that you pay on top of the loan
interest
person who gives out payday loans
loan shark
the amount of credit you have is called _______
credit limit
type of card that is connected to your checking account and doesn't have rewards perks
debit card
type of account that is used for daily purchases
checking account
the amount of money you take out initially
principal
name of the redhead girl who is in all the videos we watch
Jen
type of loan that isn't protected by collateral
unsecured
the amount of money you owe the credit card company
balance
The following are shifters of what: technology, seller expectations, # of producers, cost of resources
supply
the length of time you have to pay off the loan
loan term
you get payday loans when you can't get a loan from this place
financial institution/bank
game played in class that simulated interest rates on credit cards with furry friends
cat insanity
thing from your bank that tells you the balance and transactions made for your credit card
budgeting strategy in which every dollar has been accounted for
zero-based budgeting
type of loan that is protected by collateral
secured loan
mousetrap
the calculation of how much of your credit you've used
credit utilization
thing that tells you all the information about your credit card
schumer box
cognitive bias when you believe things you already own are worth more
endowment effect