Unit 5: Credit - Lessons 1~6, Terminology

Front

The ability to borrow money; an agreement made between two parties where something is borrowed with a promise to pay back.

Back

Credit

Front

A number that represents how well or badly you manage your credit.

Back

Credit Score

Front

One to whom a debt is owed.

Back

Creditor

Front

An obligation to pay back something that has been borrowed.

Back

Debt

Front

One who owes a debt.

Back

Debtor

Front

A charge for borrowed money, generally a percentage of the amount borrowed.

Back

Interest

Front

An amount of credit extended to a borrower that they can draw on as needed.

Back

Line of Credit

Front

The amount you still owe on the money you borrowed.

Back

Outstanding Debt

Front

Fair Isaac and Company, the first company to provide a credit score.

Back

FICO