Credit Score
What is a good credit score?
670 or higher
Risk of losing money
What is something valuable, like a car or property, that a borrower offers to a lender to secure a loan?
Collateral
What type of bond is issued by the federal government and is considered one of the safest investments?
Government bonds
How can you improve your credit score?
Make payments on time
What is the most common type of investment?
Stocks
What do you call the original amount of money borrowed in a loan, not including interest?
Principal
What type of bond is issued by companies to raise money for business expenses, often offering higher returns but more risk?
Corporate bonds
What effects your credit score?
Your credit history
What is the one thing a person cannot set on a CD?
The interest rate
What is the extra amount of money you pay a lender for borrowing money, usually calculated as a percentage of the loan?
Interest
What type of bond is issued by cities, states, or other local government agencies to fund public projects like schools or roads?
Municipal bonds
What credit score range is considered "good"?
670-739
What investment is known for paying interest over time?
Bonds
You only pay interest if...
You leave a balance at the end of the pay period.
What type of bond has a fixed interest rate for the life of the bond?
Fixed-rate bond