Credit Vocabulary

Front

Credit

Back

The privilege of using someone else's money for a period of time

Front

Debtor

Back

Anyone who buys on credit or receives a loan

Front

Creditor

Back

One who sells on credit or makes the loan

Front

Loan Credit

Back

Borrow a specific amount of money for a specific purpose

Front

Sales Credit

Back

Charging a purchase at the time you buy the good or service

Front

Closed-Ended Credit

Back

One time loan for specific dollar amount, for specific time period, and with specified payment amounts

Front

Down Payment

Back

When receiving a loan, the payment of part of the purchase price up front

Front

Open-Ended Credit

Back

Line of credit that requires periodic payments of part or all of the total, and lets you borrow UP TO a certain amount EACH MONTH

Front

Closed-Ended Credit Example

Back

Loans are an example (Closed-Ended OR Open-Ended?)

Front

Open-Ended Credit Example

Back

Credit Cards are an example (Closed-Ended OR Open-Ended?)