Deck 4 Flashcards
repayment
paying back the money owed
balance (credit card balance)
the amount of money still owed
down payment
the first bigger payment required when buying more expensive goods and services on credit
installment
multiple equal payments made by the borrower until the loan is paid in full
car title
a paper that identifies the legal owner of the vehicle
credit history
a record of how responsible the borrower is with paying his or her debts on time
character
the reputation and the traits of the borrower in handling money and debts
capacity
the ability to pay back the loan
credit score
the numerical grade or rating you received based on the information in the credit report
risk
the chance or the possibility of losing money
co-signer
a person with a good credit standing who signs the loan document with the main borrower, also becoming responsible to pay back the loan if the main borrower stops making payments
budget
a plan of how much you will spend and save for a period of time
insured
guaranteed against losing the money
live within your means
spending no more than what you have or what you can afford
deposit account
an arrangement with a bank that allows a person or an organization to put in and take out money
