Credit Cards

Front

What is a credit card?

Back

A credit card is a financial tool that allows individuals to borrow money from a bank or financial institution to make purchases, with the agreement to pay back the borrowed amount, usually with interest.

Front

Who do you agree to pay when you make a credit card purchase?

Back

You agree to pay your credit card company.

Tags

CCSS.RI.11-12.3

CCSS.RI.11-12.5

CCSS.RI.8.5

CCSS.RI.9-10.3

CCSS.RI.9-10.5

Front

How can you avoid paying interest fees on your credit card?

Back

By paying off the full balance, on time, each month.

Front

What happens if you don't have enough money to pay for the things you charged on your credit card?

Back

You end up owing more than the original amount of money you charged.

Tags

CCSS.7.NS.A.1C

Front

What is the minimum payment on a credit card?

Back

The least amount that must be paid on a credit card each month.

Tags

CCSS.7.RP.A.3

Front

What is a credit limit?

Back

The maximum amount of money that can be charged on a credit card.

Front

What is a credit score?

Back

A numerical representation of a person's creditworthiness, based on their credit history.

Front

How does a high credit score affect interest rates?

Back

Having a high credit score allows lenders to offer lower interest rates.

Front

What is an interest rate?

Back

The percentage of a loan amount that is charged as interest to the borrower.

Tags

CCSS.7.RP.A.3

Front

What is a late fee?

Back

A charge incurred when a payment is not made by the due date.

Tags

CCSS.RI.11-12.3

CCSS.RI.11-12.5

CCSS.RI.8.3

CCSS.RI.9-10.3

CCSS.RI.9-10.5