Managing Credit
This three-digit number, ranging from 300 to 850, determines your creditworthiness.
What is a Credit Score?
This is the "price" you pay for borrowing money, usually expressed as a percentage.
What is Interest?
This free federal form must be filled out to determine your eligibility for financial aid.
What is the FAFSA?
This is the maximum amount of money a credit card company allows you to spend on one card.
What is a Credit Limit?
Using a new loan with a lower interest rate to pay off multiple smaller debts is called this.
What is Debt Consolidation?
Unlike loans, these two types of financial aid do not have to be paid back.
What are Scholarships and Grants?
To avoid paying interest, you should pay this specific amount on your statement every month.
What is the Full Balance?
This debt-reduction strategy involves paying off the debt with the highest interest rate first.
What is the Debt Avalanche method?
This type of federal loan does not accrue interest while you are enrolled in school at least half-time.
What is a Subsidized Loan?
This factor, which tracks if you pay bills on time, makes up 35% of your total credit score.
What is Payment History?
This legal process allows individuals to get relief from debts they cannot pay, but it stays on credit reports for 7–10 years.
What is Bankruptcy?
What is Federal Work-Study?
This program allows students to work part-time jobs, often on campus, to help pay for expenses.
This term refers to the percentage of your total available credit that you are currently using.
What is Credit Utilization Ratio?
This is the "hidden" danger of debt where interest is charged on the original principal plus any accumulated interest.
What is Compound Interest?
This is the total cost of attending a school for one year, including books, housing, and food, not just tuition
What is the Cost of Attendance (COA)?