Chapter 4 Vocabulary

A card that acts like an electronic check and is not a credit card

• billing

• credit card

• debit card

Interest charged to a buyer when paying for a purchase or service

• credit

• finance charge

• transaction

Referred to as the average

• mean

• interest

• finance

The date the monthly payment must be received by the creditor.

• payment due date

• billing date

• credit line

A unique number that identifies a credit card holder.

• interest

• credit

• account number

A special type of credit card where the monthly bills for all purchases must be paid in full and there is no interest charged.

• credit card

• charge card

• debit card

An accounting of the credits and debits in the form of a monthly report sent to the card holder.

• credit card statement

• installment plan

• wage assignment

The finance fee that is charged to a buyer when paying for a purchase.

• debit

• payment

• interest

The balance in an account or money borrowed.

• principal

• interest

• credit

A predetermined amount of time that is used for calculating a credit card bill.

• installment plan

• percentage rate

• billing cycle