Cards
A card that lets you buy things now and pay later.
Credit Card
What is APR?
Annual Percentage Rate
The smallest amount you pay to avoid fees?
Minimum Payment.
The fee charged if you don't pay on time.
Late Fee
Interest on the credit card is ________ daily.
Compounded
Credit cards are a form of_________.
Revolving Credit
Average APR is _____________.
18% to 29%
The amount you owe based on all charges and payments during a billing cycle.
Statement Balance.
The kid of fee you pay if you spend over your credit limit.
Over the limit fee.
If you have a large balance, high interest rate, and a low minimum payment, you might _______ pay off your card.
Never.
The maximum you can borrow is called?
Credit Limit
Type of interest where you pay interest on your interest.
Compound Interest.
True or False. If you pay your statement balance, you will not pay interest.
True
The fee charged to have the card for the year.
Annual Fee
Interest makes everything____________.
More Expensive.
You must have enough money in your bank account to cover your purchase if you use this card.
Debit Card
What happens if you don't pay your balance in full when you get your statement?
You will pay interest.
A real-time view of your total debt.
Current Balance.
The fee you pay if you use your credit card at an ATM.
Cash Advance Fee.
Minimum payments are designed to______.
Stretch out your debt.
A credit card ________ you the money to make purchases.
Credit Card.
The higher your balance and APR, the _______ you'll owe over time.
More
You can choose to pay off any amount but it must be _________ that the minimum payment.
Higher
The fee you pay to transfer your balance from one card to another.
Balance Transfer Fee
If you can't pay your full credit card bill, always try to______.
Pay more than the minimum.