Chapter 18 Flashcards
The total dollar cost of credit including interest and other charges
Finance charge
Loan in which you agree to make monthly payments in specific amounts over a period of time
Installment loans
A written promise to repay based on a debtor’s excellent credit history
Promissory note
Property that is used as security
Collateral
The person responsible for the payment of a note if u do not pay as promised
Cosigner
A persons reputation for paying bills on time
Credit rating
The cost of using someone else’s money
Interest
Date that a loan must be paid
Maturity date
States the percentage cost of credit on a yearly basis
Annual percentage rate
Company that gathers information on credit users
Credit bureau
Record of the transactions completed during the billing period
Statement of account
Discussed and suggests actions to take to reduce spending and eliminate credit difficulties
Credit counselor
Legal process of reducing or eliminating an amount owed
Bankruptcy
Using someone else’s money for a period of time
Credit
