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Quiz yourself by thinking what should be in
each of the black spaces below before clicking
on it to display the answer.
Help!
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| credit | an arrangement to receive cash, goods, or services now and pay for them in the future
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| consumer credit | use of credit for personal needs
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| creditor | an entity that lends money
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| closed-end credit | credit as a one-time loan that is paid back over a specified period of time in payments of equal amounts
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| open-end credit | credit as a loan with a certain limit on the amount of money you can borrow for a variety of goods and services
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| line of credit | maximum amount of money a creditor will allow a credit user to borrow
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| grace period | time period during which no finance charges will be added to an account
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| finance charge | total dollar amount paid to use credit
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| net income | income received from take-home pay, allowance, gifts, and interest
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| annual percentage rate (APR) | cost of credit on a yearly basis, expressed as a percentage
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| collateral | a form of security that helps guarantee that the creditor will be repaid
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| simple interest | interest computed only on the principal
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| minimum monthly payment | smallest amount that one can pay and remain a borrower in good standing
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| credit rating | a measure of a person's ability and willingness to make credit payments on time
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| cosigning | You agree to be responsible for the loan payments if another person fails to make them
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| bankruptcy | A legal process in which some or all of the assets of a debtor are distributed among the creditors because the debtor is unable to pay his or her debts
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| finance | Give or get money for
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| title | Document showing ownership
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| portion | Part
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| pledged | Promise
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| promptly | On time
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| imposters | People who deceive others by assuming different identities
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| repossess | Take back
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| confidential | Private
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Created by:
malloriehavens4
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