Insurance
Life insurance with a finite coverage period; usually 5, 10, 20, or even 30 years.
Term Life Insurance
Typically assessed monthly, the minimum amount you need to pay on a loan to keep it current and avoid negative effects on your credit report.
Pick Again
Pick Again
The total amount of unpaid money on a loan excluding any interest charges.
Principal
The annual growth of an unpaid loan balance, expressed as a percentage.
APR
A document detailing the type and amount of coverage your insurance offers.
Policy
An amount of money paid upfront toward a large purchase to reduce the loan amount and show the buyer’s commitment and ability to repay.
Down Payment
Contributions to state and federal governments to pay for things like public services and infrastructure.
Taxes
Protects against medical costs and lost wages in the case of a car accident.
Personal Injury Protection
How much an investment gains or loses over a specific amount of time.
Rate of Return
A service that provides protection against the unpredictable; like car accidents or broken arms.
Insurance
A percentage that compares your total monthly debt payments to your gross monthly income, used by lenders to assess loan eligibility.
Debt-to-Income Ratio
Your total income after all taxes and withholdings are paid.
Net Income
The amount you'll need to pay before insurance kicks in and covers the rest of your costs.
Deductible
The amount that you own in assets minus the amount you owe in liabilities.
Net Worth
A request submitted to your insurance provider to help pay for covered expenses.
Claim
A policy offered by a private third party that protects lenders against mortgage default.
Private Mortgage Insurance (PMI)
Free Points
+400
Free Points
+400
A budgeting method where you record your earnings twice: once in your account and once in your budget.
Double-Entry Accounting
Helps cover costs if you're legally responsible for injuries or property damage to others.
Liability Coverage
A numerical measure of a person’s creditworthiness based on their credit history with the FICO® Score being the most widely used credit score..
Credit Score
The amount deducted from your paycheck by your employer often for taxes and health insurance.
Withholdings
Illegally using someone else's identity for personal or financial gain.
Identity Theft
A detailed list of the factors contributing to your FICO® Score, including open accounts and payment histories.
Credit Report
A type of insurance that covers you in the case of a collision with an uninsured driver who is at fault.
Uninsured Motorist Coverage
Paying a loan off in installments, rather than one lump sum.
Amortize
An employer-sponsored savings and investment plan that allows you to contribute some of your earnings toward retirement.
401(k)
A contract that lets you use someone else's property for a specified rate and length of time.
Lease
Helps cover damage to a vehicle from non-collision events like theft, weather, or vandalism.
Comprehensive Coverage
Helps pay for damage to your vehicle resulting from a crash or collision.
Collision Coverage
An inquiry into your credit history, typically in advance of applying for a loan.
Hard Inquiry
Your income from any and all sources, before taxes are withheld.
Gross Income
Anything that you spend money on, whether it's a necessity or a luxury.
Expense
A deduction with specific qualification that lowers the total of your taxable income.
Exemption