Credit Basics
A loan involving collateral that must be surrendered if unable to pay
What is a secured loan?
The total amount of money available to be spent on a credit card
What is a credit limit?
Maximum amount you can borrow each year
What is cost of attendance?
The worst type of loans that you can get
What is a payday loan?
Working to make payments towards ownership of the car
What is buying or purchasing?
When interest rate remains constant throughout the length of the loan
What is fixed (rate)?
A solution to how we overspend with credit cards
What is using cash only?
FAFSA is an acronym for this phrase
What is Free Application for Federal Student Aid?
Generally recommended homes cost no more than this many times your annual household income
What is 3 to 5?
This type of financing usually provides manufactured-sponsored, low-rate or incentive programs
What is dealership financing?
Four common types of credit
What are overdraft, loans, credit cards and mortgages?
The documentation legally required to be sent to a new credit card holder
What is a Schumer Box?
Type of student loans that won't accrue interest while you're still in college
What is a subsidized loan?
This institution is the place that allows for the fastest way to get a personal loan
What are online lenders?
This is the process of borrowing money from a bank, finance company or credit union
What is direct lending?
Kind of loan when payment amounts vary monthly based on the debt size
What is a revolving loan?
The psychological effect of paying in cash and how it is intimately tied with the feeling of paying for it
What is coupling?
Program offered through college to work part-time to offset tuition costs
What is work study?
The three most popular places to get a personal loan from
What are online lenders, credit unions, and banks?
This is what you are paying for when leasing a car
What is depreciation of the car?
Process where the proportion of the principal of the monthly payments increases over time
What is amortization?
The process of moving your outstanding debt from one credit card to another
What is a balance transfer?
The amount of time after graduation until student loan payments begin
What is 6 months?
The period of time it takes to complete all remaining steps in the home buying process
What is escrow?
This is the typical average mileage limit when leasing a car
What is 15,000 miles?