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PF Ch 4 Debt

The dangers of Debt vocabulary

TermDefinition
Annual Fee fee charged by a credit card company for the use of their credit card.
Annual Percentage Rate (APR) cost of borrowing money on an annual basis; takes into account the interest rate and other related fees on a loan
Credit money owed
Debt Snowball preferred method of debt repayment; includes a list of all debts organized from smallest to largest balance; minimum payments are made to all debts except for the smallest, which is attacked with the largest possible payments.
Depreciation a decline in the value of property; the opposite of appreciation
Tax Deduction : expense that a taxpayer is allowed to deduct from taxable income; examples include money paid as home mortgage interest and charitable contributions
Created by: mgarda