Credit Basics
Credit cards are an example of this kind of credit
What is open ended credit?
A revolving line of credit established in advance
What is credit?
A record of someones us of credit
What is a credit report?
the money leftover after basic living expenses have been paid
Mortgages are an example of this kind of credit
What is closed ended credit?
Examples include intentional use of credit, having a mix of credit, not leaving a balance, and paying bill in full.
What are positive credit behaviors?
This kind of credit check will not ding your credit score
What is a soft credit check?
This is easier to change than you may think
What is a credit score?
Fair Issac Corporation is long for this
Payday loans are an example of this kind of credit
What is alternative credit?
Examples include missing payments, paying late, having too much of one type of credit, and chasing rewards like points.
What are negative credit behaviors?
This kind of check will hurt your credit score
What is a hard inquiry?
There are two kinds of this- one is harmful and one is not.
What is a credit inquiry?
What is collateral?
Insurance companies, banks, merchants, and the government are examples of this
What are sources of credits?
The type of interest credit card companies charge on unpaid bills.
What is compound interest?
What are major CRA's
This may seem good for your credit but is actually bad for it.
What is a credit card?
Payment history, amount owed, length of credit history, new credit, and credit mix
The total cost of borrowing money for a year expressed as a percentage
What is APR?
Credit card companies look for new customers using this
What is a pre approved application?
Medical information, race, gender, religion, ethnicity, buying habits, and criminal history
What is not on a credit report?
What is credit history?
This kind of credit has a set payment
What is installment credit?