PRESERVING YOUR CREDIT

Question 1

occurs when two or more people each agree to bear a portion of an obligation.

Answer 1

SHARED RESPONSIBILITY

Question 2

– is a legally binding agreement that specifies the rights and duties of each party to agreement.

Answer 2

CONTRACT

Question 3

something of value exchanged for something else of value.

Answer 3

CONSIDERATION

Question 4

is a written agreement that allows a tenant to use the property for a set period of time (run for 6 months, years, or longer).

Answer 4

LEASE

Question 5

– a written contract that allows you to leave anytime as long as you give the required notice (month-to-month agreement).

Answer 5

RENTAL AGREEMENT

Question 6

– a loan that is payable over a period longer than a year.

Answer 6

LONG-TERM DEBT

Question 7

process of dividing up your debt obligations, plus interest, into equal monthly payments over a set period of time.

Answer 7

AMORTIZATION

Question 8

unfair, deceptive, and fraudulent loan practices. Some loan practices are illegal.

Answer 8

PREDATORY LENDING

Question 9

a person who offers illegal loans at a very high interest.

Answer 9

LOAN SHARK

Question 10

is a type of short-term loan, a secured loan with high-interest rate that uses the title on your vehicle or property as collateral.

Answer 10

TITLE LOAN