An entity (bank, finance company, credit union, business, or individual) to which money is owed.
What is creditor.
200
A for-profit financial institution that offers a full range of financial services
What is a commercial bank
200
a nonprofit financial institution that is owned by its members and organized for their benefit
What is credit union?
200
The cost of credit on a yearly basis, expressed as a percentage.
What is annual percentage rate?
300
A savings alternative in which money is left on deposit for a sated amount of time to earn a specific rate of return.
What is a certificate of deposit
300
The percentage of increase in the value of savings from earned interest.
What is rate of return?
300
The ability to borrow money for a variety of goods and services up to a limit set by the company issuing the credit.
What is open-end credit?
400
The process in which interest is earned on both the principal and any previously earned interest.
What is compounding
400
A card issued by a financial institution that allows you to withdraw money from your account or pay for purchases by deducting funds directly from your account.
What is debit card?
400
A time period during which no finance charges are added to a credit card account.
What is grace period?
500
The amount of interest that a financial institution would pay on a $100 deposit, after compuonding for one year.
What is annual percentage yield?
500
A savings account in which the interest rate vaires as market rates change