Consumer Math A Semester Review

Front

What is the maximum amount Jason should spend on housing and other debt if his realized income is $3200 per month?

Back

$1152

Front

What term refers to the person or agency from whom you borrow money?

Back

Lender

Front

Define collateral in the context of finance.

Back

Collateral is an asset pledged by a borrower to secure a loan.

Front

What does FICO stand for?

Back

Fair Isaac Corporation

Front

Define the word 'bartering'.

Back

Trading goods or services for other goods or services.

Front

What is the purpose of a budget?

Back

To plan and track income and expenses.

Front

What is interest in terms of loans?

Back

The cost of borrowing money, usually expressed as a percentage.

Front

What is a credit score?

Back

A numerical representation of a person's creditworthiness.

Front

What is the difference between a secured loan and an unsecured loan?

Back

A secured loan is backed by collateral, while an unsecured loan is not.

Front

What is the role of a credit bureau?

Back

To collect and maintain consumer credit information.