Credit Vocabulary 1

a service provided by most credit card and charge card issuers. The service allows cardholders to take cash, either through an ATM or over the counter at a bank or other financial agency, up to a certain limit.

• Cash advances

• Line of credit

• Simple interest

• Pawn shops

is credit that is available up to a limit and automatically renewed as debts are paid off or paid down. Most credit cards are a form of revolving credit.

• Introductory rate

• Finance Charge

• Usury

• Revolving Credit

any fee representing the cost of credit, or the cost of borrowing

• Bankruptcy

• Introductory rate

• Finance Charge

• Consolidation Loans

interest for new card holders that will usually be lower than traditional interest rates.

• Truth in Lending Act

• Introductory rate

• Debt

• Credit Report

someone who receives something with a promise to return it or its equivalent.

• Borrower

• Usury

• Debt

• Revolving Credit

a short-term loan that provides immediate cash by securing a borrower's written check or receiving authorization for automatic withdrawal from the borrower's depository institution account

• Pawn Shop

• Delinquent

• Payday Loan

• Cash Advance

An amount of money borrowed by one party from another

• Finance Charge

• Debt

• Borrower

• Interest

a legal process in which some of all of the assets of a debtor are distributed among the creditors because the debtor is unable to pay his or her debts

• Pre-approved

• Repossession

• Bankruptcy

• Delinquent

details a person's financial history specifically related to their ability to repay borrowed money.

• Cash Advance

• Installment Loans

• Line-of-credit

• Credit report

a loan made in order to consolidate several debts into one loan, usually for the purpose of reducing the monthly payments by extending them over a longer time period

• Debt

• Pawnshop

• Payday Loan

• Consolidation Loans