Credit
The ability to borrow money
Credit
Usually repaid in equal payments over set period of time (mortgage, car payment, student loans)
Installment Loan
Usually with loans you will pay back more than you borrowed, this is as a result of ______
Interest
What form of payment can you give when you need an immediate loan and do not have the money in your checking account?
Credit Card
Repaid based on how much you have borrowed (most credit cards and home equity)
Revolving Loans
The money you borrow
Principal
The number associated with your debt, loans, and other forms of financial history
Credit Score
No collateral. Often higher interest rates than secured loans
Unsecured Loan
May be charged for certain activities like reviewing loan application
Fee
A monthly payment you must make to a credit card
Minimum Payment
Require collateral, such as your house, vehicle, or cash. You lose the collateral if you don’t pay as agreed.
Secured Loan
Your credit scores and reports are used to evaluate what from your history?
How you have used credit in the past
How many credit accounts you have
Whether you have ever filed for bankruptcy, had property repossessed or foreclosed upon, made late payments