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Credit & Reports
Term | Definition |
---|---|
Annual Fee | Expense charged on a yearly basis such as a charge for having a credit card. |
Annual Percentage Rate | The yearly cost of borrowing money from a financial institution. |
Balance Transfers | A process that lets you move debt or balance from a credit card to another credit card. |
Bankruptcy | A persons process to planning on repaying debt. |
Cash Advances | A short term expensive loan. |
Co-signer | The act of signing with a borrower for a loan. |
Courtesy Checks | A way to access your credit line without going to an ATM. |
Credit Bureau | A company that collects credit ratings of individuals. |
Credit Card | A plastic card issued by a bank or business that allows the individual to make purchases. |
Credit history | A record of a consumers ability to repay debt. |
Credit limit | The maximum amount of credit a financial institution gives a consumer. |
Credit report | A breakdown record of a consumers history prepared by a credit bureau. |
Credit score | A number given to an individual that indicates to lenders their capacity to pay back a loan. |
Debt | Money that is owed or due. |
Finance charge | Any fee representing the cost of credit or the cost of borrowing. |
Grace period | The time period of debt right after a deadline. |
Interest rate | The amount a lender charges for the use of assets. |
Introductory rate | An interest rate charged to a consumer during the initial stages of a loan. |
late payment fee | A charge a consumer pays for making a required minimum payment on a credit card after a due date. |
lender | A person or organization that lends money. |
line of credit | An amount of credit extended to a borrower. |
Over-the-limit-fee | A fee charged when your balance goes over your credit card limit. |
Pre-approved | Pre qualification for a loan or a mortgage of certain value range. |
principle | The amount still owed on your loan. |
secured loan | A loan in which the borrower pledges some asset as collateral for the loan. |
term | Conditions under which an action may be undertaken pr agreement reached; stipulated or agreed-upon requirements. |