Credit Cards
What is a credit score?
A number showing how trustworthy you are with borrowing money.
What is a car loans?
Money borrowed to buy a car
Which usually cost less?
Used cars
What is interest?
Extra money paid for borrowing
What is a budget?
A spending plan
What happens if you only pay the minimum balance?
You pay more interest and stay in debt longer.
What affects your monthly payment?
Which loses value faster?
New cars
Higher interest means?
Higher total cost
Why track expenses?
To avoid overspending
What does APR stand for?
Annual Percentage Rate
What is a down payment?
Money paid upfront
What is depreciation?
Loss of value overtime
Fixed rate means?
Rate stays the same
What is an emergency fund?
Savings for unexpected costs
What helps build a good credit?
Paying bills on time
What happens if you miss a payment?
Late fees
Why might used cars cost more to maintain?
Older parts may need repairs
Variable rate means?
Rate can change
Why save before buying a car?
Bigger down payment = smaller loan
What is credit utilization?
How much credit you used compared to your limit
What is a loan term?
How long you have to repay
Biggest benefits of buying new?
Warranty coverage & reliability
Good credit usually gets what?
Lower interest rates
Best budgeting habit?
Spend less than what you earn