Exam 2 Flashcards
1
Q
Components of a FICO Score
PLLNT (All have the word debt in them
A
- Debt Payment history
- Level of Debt
- Length of Debt History
- New Debt
5.Type of Debt
2
Q
5 Foundations (Think in Order)
EPCCB+G
A
- $500 Emergency Fund
- Pay off loans/debts
- Pay cash for your car
- Pay cash for college
- Build wealth + give
3
Q
Principle
Total _________ + f + t
A
Total amt of car loan + fees and taxes
4
Q
Accrued Interest
interest charged ____________, not yet __________
A
Amt of interest charged on a debt, not yet collected
5
Q
Habits 2 Build Wealth + Become Millionaire
Consistently __________ + Patience __________
A
- Consistently invest money
- Patience to give it time to grow
6
Q
Main Reasons for Saving Hard-Earned Money
ELW
A
- Emergencies
- Large Purchases
- Wealth-building
7
Q
Time-Value of Money
Certain amt ____________ today, worth more __________
A
A certain amt of money today is worth more than the same amt in the future
