Credit Principles
These two tools allow you purchase items immediately by using money from your checking account.
Check/Debit Card
Credit cards have this, which is the maximum amount you can borrow.
Limit
An agreement where you are credited with a fixed amount of money for a fixed period of time, usually with interest.
Loan
This is a secured loan agreement between a buyer and a financial institution for a house.
Mortgage
Credit card issuers can refuse to give out a credit card if you are under this age.
21
A HELOC is a line of credit that's applied to equity built off of this asset.
House/Home
Secured
If you are under 21, you need to either prove you have a steady income or get one of these to have a credit card.
Co-Signer
The higher this number is, the lower your interest rate will be when you take out a loan.
Credit Score
Down Payment
You are only liable for this much if a credit card has been used fraudulently.
$50
This government-run website allows you to download your credit report for free on an annual basis.
A percentage of the principal you pay as a charge for the right to borrow that money.
Interest
This informational document provides the credit card holder information on the APR, fees, and the grace period.
Schumer Box
What does APR mean?
Annual Percentage Rate
A shorter auto loan means you'll pay a __________ monthly payment and __________ total intrest.
A shorter auto loan means you'll pay a HIGHER monthly payment and LOWER total intrest.
You can dispute a credit card charge up to this many days.
60 Days
The act of debt owed being removed from your wages through a court order. It can also make a dish just a tad more appealing.
Garnishing
This kind of interest rate fluctuates based on prime rate or an index rate.
Variable Rate
This is a charge for using a credit card that you pay once every year.
Annual Fee
Paying off debt over time in equal installments, like student loans and car loans.
Amortization
This type of student loan has its interest paid for by the govenrment while you are in school.
An APR rate that is usually low and offered as a promotional rate for a set period of time after the card has been issued.
This rate refers to the amount of credit you are using compared to the limit that is available to you; a major indicator for your credit score.
Utilization Rate
An open line of credit that can be used for purchases as long as you are under the limit; and the payments vary monthly based on the size of the debt.
Revolving Credit
By not paying this on a credit card, you can trigger a penalty APR.
Minimum Payment
Someone who has little to no credit history is often said to have this kind of file.
Thin File
Subprime
If you have $50,000 available credit, but you are $5,000 in debt; what is your credit utilization rate?
10%
200 Points for each of the credit bureaus that monitors your credit and contributes to your credit score.
Equifax, Experian and TransUnion
After miscalculating his dad's income, this boy who ain't right went on a spening spree with his friends Connie and Joseph using his dad's credit card.
Bobby Hill
These two prehistoric wives were famous for using the phrase "Charge it!" during their shopping splurges.
Wilma and Betty
Despite earning over $300 million during his boxing career, his lavish spending on jewelry, mansions, and exotic animals led to financial ruin, including unpaid credit card balances; forcing him to get into a staged bout with that Ohio guy from Team 10.
Mike Tyson
If you have enough bells, you can pay off Tom Nook for your mortgage in this game.
Animal Crossing
Frank, Lip, Fiona, Ian, Carl, and Debbie all struggled with debt and credit in this Showtime series.
Shameless
He wrote these lyrics in his song "God's Country":
I make a mill' every-, you decide, choice is yours; The butterfly reflect the doors; I hit the gas and metamorph; Couldn't get this stuff off credit score
Travis Scott