Credit/Debit Card Terms Flashcards
What does APR stand for?
Annual percentage rate
What are the 3 C’s of credit?
Character, Capital, and Capacity
What is the average overdraft fee charged by major banks?
$35
moving the outstanding debt from one piece of plastic to another card, usually a new one.
Balance transfers
. the maximum amount of credit that a customer of a store, bank, etc., is authorized to use.
Credit line
service provided by most credit card and charge card issuers. The service allows cardholders to withdraw cash, either through an ATM or over the counter at a bank or other financial agency, up to a certain limit. For a credit card, this will be the credit limit
Cash Advance
is a plastic payment card that can be used instead of cash when making purchases. It is similar to a credit card, but unlike a credit card, the money comes directly from the user’s bank account when performing a transaction.
Debit Card
a record of a borrower’s responsible repayment of debts.
Credit history
a deficit in a bank account caused by drawing more money than the account holds.
Overdraft
money paid regularly at a particular rate for the use of money lent, or for delaying the repayment of a debt.
Interest
taking out a new loan to pay off a number of liabilities and consumer debts, generally unsecured ones. In effect, multiple debts are combined into a single, larger piece of debt, usually with more favorable pay-off terms: a lower interest rate, lower monthly payment or both.
Loan consolidation
a person who signs an official document (such as a loan, contract, or law) with another person
Cosigning
a small plastic card issued by a bank, business, etc., allowing the holder to purchase goods or services on credit.
Credit card
