Credit and Financial Concepts Flashcard

Front

What is the ability to borrow money called?

Back

Credit

Front

What type of credit involves ongoing borrowing, such as with credit cards?

Back

Revolving credit

Front

What does a credit score represent?

Back

Your creditworthiness

Front

What is the annual percentage rate (APR)?

Back

The annual interest rate charged

Front

What is the lowest amount you must pay monthly on a credit card called?

Back

Minimum payment

Front

What is the purpose of the Federal Reserve?

Back

To act as the central banking system of the United States

Front

What is the term for allocating money with the expectation of future returns?

Back

Investment

Front

What type of money involves the use of electronic payments and cryptocurrencies?

Back

Digital money

Front

What are markets where company shares are traded called?

Back

Stock markets

Front

What is the term for the price you pay to borrow money?

Back

Interest