Credit & Debt

Which of the following is considered a consumer product?

• credit

• debt

• equity

• interest

Money owed to another person or company is considered to be _____.

• credit

• debt

• equity

• collateral

Tags

CCSS.RI.11-12.4

CCSS.RI.7.4

CCSS.RI.8.4

CCSS.RI.9-10.4

CCSS.RI.9-10.4

All of the following are considered to credit card marketing tactics except:

• Offering a low or zero interest introductory rate

• Requiring only the minimum payment

• Encouraging consumers to pay off balances in full

• Offering cash back and other rewards

A credit card is an example of _____ because it offers credit that automatically renews whenever a payment is made to reduce the debt.

• negative equity

• revolving credit

• installment credit

• equity

True or False: An asset is something of value that is offered as security on a debt; if the debt is not repaid as agreed, the item is forfeited to the lender.

• True

• False

True or False: A credit union is an example of a a lender who uses deceptive, unfair, or fraudulent practices on borrowers who are desperate for cash.

• True

• False

Tags

CCSS.RL.5.6

Interest is ...

• a legal claim (or right to own) against an asset until the debt (loan) is repaid

• the amount of time, in months, that you'll be making payments

• when the value of an asset falls below what is owed on it

• the additional cost a lender charges for borrowing their money

Tags

CCSS.5.NBT.A.2

A lien is ...

• the increase in value of a home over time; the difference between the amount owed and what the home could be sold for

• a legal claim (or right to own) against an asset until the debt (loan) is repaid

• the loss of value of an asset over time

• something owned (that has value) offered as security on a debt; if the debt is not repaid as agreed, the item is forfeited to the lender

An asset that increases in value over time is _____.

• Equity

• Depreciating Asset

• Appreciating Asset

• Negative Equity

This is the increase in value of a home over time or the difference between the amount owed and what the home could be sold for.

• Negative Equity

• Equity

• Interest

• Principal

Tags

CCSS.6.NS.C.7C