Types & Cost of Credit

Amount of money borrowed

• lien
• collateral
• interest
• principal

Tags

CCSS.7.RP.A.3

Money charged by the lender for the amount borrowed, expressed as an annual percentage.

• Interest rate
• collateral
• principal
• loan

Amount of time allotted for repayment of a loan

• Collateral
• Term
• Daylight savings time
• repossession

Credit backed by collateral

• secured credit
• unsecured credit
• credit card
• lien

Credit not backed by collateral

• car loan
• unsecured credit
• secured credit
• defered payments

Asset assigned as security for a loan

• term
• down payment
• lien
• collateral

Claim to the property of borrower to secure the payment of a debt

• lien
• collateral
• subsidized loan
• secured debt

Government-backed loans like student loans

• unsecured loans
• secured loans
• subsidized loans
• auto loans

What are the only loans that can offer deferral of interest during college and a six month non-payment period for up to six months after graduation

• secured loan
• student loan
• collateralize loan
• car loan

When you default on your car loan and the lender takes back the vehicle

• bankruptcy
• lien
• repossession
• unsecured credit