Cost of Credit

Amount of money borrowed

• lien

• collateral

• principal

• interest

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

• repossession

• daylight savings time

Asset assigned as security for a loan

• term

• down payment

• collateral

• lien

Ability to borrow money and pay it back later

• Credit

• Debit

• Creditor

• Debtor

Person who borrows the money

• Creditor

• Debt

• Credit

• Debtor

Money that must be repaid

• Credit

• Debit

• Debtor

• Creditor

Person or business who loans the money

• Credit

• Creditor

• Debit

• Debtor

Credit backed by collateral

• Unsecured Loan

• Secured Loan

• Deferred payment

• car loan

Credit not backed by collateral

• Secured Loan

• Car loan

• Deferred Payment

• Unsecured loan