Definition
What is APR?
Annual Percentage Rate
what are credit cards usually used for
houses, cars, bills, travel
What is a loan term
length of time you have to pay the loan
Name three credit card companies
Chase, Bank of America, American Express
Grace Period
the length of time lender charges no interest on money
What is an Annual Fee
the fee a credit card company charges for the use of their credit card
Total Debt (also called the principal) $1,000 Monthly Payment $90 Interest Rate 12.99% Total Months to Payoff 12
.Calculate the total payoff amount if you tripled the original $30 monthly payment to $90 per month
1080
Does Dave Ramsey think credit cards are good or bad
Bad
What's Jon's favorite color
red
Origination fee
the charge for setting up a loan
Introductory Rate
Lower interest rate offered by credit card companies
Total Debt (also called the principal) $1,000 Monthly Payment $60 Interest Rate 12.99% Total Months to Payoff 19
Calculate the total payoff amount if you doubled the original $30 monthly payment to $60 per month.
1,140
Whats Dave's first name
Ramsey
What's the lowest credit score
300
Credit limit
the maximum amount of money the lender is willing to loan
Finance charge
the total cost of using credit including intrest and fees
Total Debt (also called the principal) $1,000 Monthly Payment $30 Interest Rate 12.99% Total Months to Payoff 42
Calculate the total payoff if just making a $30 payment.
1260
define credit score
a prediction of your credit behavior, such as how likely you are to pay a loan back on time, based on information from your credit reports.
What's the highest credit score
850