Credit Cards 1
What does APR stand for
Annual percentage rate
what does CD stand for
Certificate of Deposite
What is the purpose of buying low and selling high in stocks
to make a profit
what is a loan
borrowed money from a bank or lender
Whats the difference between a debit card and a credit card
Debit is your money, credit is borrowed money
What is an interest rate
The amount a lender charges a borrower and is a percentage of the amount loaned
What is a benefit of a CD
Safer than stocks/ bonds and guarantees a return on investment
What is the purpose of budgeting
To give your money a place and purpose/ to save money
What is an investment
Something you spend your money on that you expect will earn a financial return
What is the lowest possible credit score
300
What is a credit score
A number created from a scoring model that uses information from your credit history
What are the Conditions of a CD
You may deposit any amount of money and get an interest rate paid back, on the condition that you do not touch the money/ take anything out from that deposit
How would someone go about getting extra money other than from their job
side hustles
What is debet
Money you owe another person or a business
What is the highest possible credit score
850
What is a credit limit
The max amount of money given that a lender will let you spend
What are the most popular terms (length of time) for CDs
3 months, 6 months, and 18 months
What is house hacking
Buying a house and renting out the spaces
What is an asset
An item with economic value, such as stock or real estate
What happens when you dont pay your credit card in full
Rack up late fees and interest charges
Name 1 of the 4 major credit card networks
ACCEPTED ANSWERS:
Master card, visa, american express, or discover
Name a possible CD penality
ACCEPTED ANSWERS:
Loss of profit, do not gain interest back, getting charged with a fee
Name a side hustle that involves driving
ACCEPTED ANSWERS:
ride sharing (Uber, lyft) or delivering foods (uber eats, doordash)
What does ATM stand for
automated teller machine
Name a type of credit reward
ACCEPTED ANSWERS:
Miles, cash back, credit points