Dave Ramsey Chapters 1-5 Review

Front

What is a Manufacturer's Warranty?

Back

A promise from the manufacturer that a product will be replaced or repaired if it’s faulty.

Front

What allows invested money to grow over time?

Back

Compound Interest.

Front

What does the federal Fair Debt Collection Practices Act of 1977 dictate?

Back

It dictates how debt collectors can interact with individuals.

Front

What is Opportunity Cost?

Back

The financial opportunity that is lost when you choose to do something else with your money.

Front

What is Predatory Lending?

Back

A lender who uses deceptive, unfair, or fraudulent practices on borrowers who are desperate for cash.

Front

What is an Extended Warranty?

Back

An additional warranty that extends the coverage period of the manufacturer's warranty.

Front

What is Consumerism?

Back

A social and economic order that encourages the acquisition of goods and services in ever-increasing amounts.

Front

What is the definition of Debt?

Back

Money that is owed or due to another party.

Front

What is the role of a Lien?

Back

A legal right or interest that a lender has in the borrower's property, granted until the debt obligation is satisfied.

Front

What does Principal refer to in finance?

Back

The original sum of money borrowed or invested, excluding any interest or profits.