Section 3.1 installment payments DR Chapter

Front

What is often not shown in credit card commercials?

Back

People making payments for months or years on those credit card purchases.

Front

What is your greatest tool for building wealth?

Back

Your income.

Front

What are the three reasons to save money?

Back

For an emergency fund, for large purchases, and to build wealth.

Front

What is certain about emergencies?

Back

It's not IF an emergency will happen, but WHEN.

Front

How do banks and lenders use credit scores?

Back

To determine the likelihood that someone is able to repay debt.

Front

What is an emergency fund?

Back

A savings account specifically set aside for unexpected expenses.

Front

Why is it important to save for large purchases?

Back

To avoid debt and interest payments associated with financing.

Front

What is the relationship between income and wealth building?

Back

Higher income allows for more savings and investment opportunities, leading to wealth accumulation.

Front

What factors can affect your credit score?

Back

Payment history, credit utilization, length of credit history, types of credit, and new credit inquiries.

Front

What is the purpose of a budget?

Back

To track income and expenses, helping to manage finances effectively.