Chp. 16 Credit

Match the following

• Credit Score

• A record of credit history and financial behavior.

• Credit

• A numerical measure of a loan applicant's creditworthiness

• Collection Agency

• The potential of credit not being repaid

• Credit Report

• A company that collects past-due bulls for a fee.

• Credit Risk

• One party lends another party goods or money with the understanding that it will be paid back later.

Tags

4.4.1

Match the following

• Finance Charge

• The total amount of money borrowed.

• Creditor

• Total amount paid by a borrower to a lender for the use of credit.

• Principal

• The party extending the credit.

• Credit Policy

• A set of guidelines used to determine how many and which customers are approved for credit.

• Unsecured Credit

• Credit granted based on a signed credit agreement.

The party receiving credit is known as ____

• creditor

• debtor

• principal

• credit agency

Credit loans that require collateral are known as

• secured credit

• unsecured credit

• open-end credit

• installment loans

Which of the following is NOT an example of a proprietary credit card issuer?

• Target

• BP

• Visa

• Sears

The three Cs of credit are character, capacity, and ___.

• Consumer

• Cash

• Co-signer

• Capital

A loan for a specific amount of money that must be repaid with interest by a specified date or according to a specified schedule is ​ (a)   credit.

• closed-end
• open-end
• trade
• line of
• installment
• business

A list of the individuals or businesses that owe money to a company is the ​ (a)  

• accounts receivable
• accounts payable
• capacity
• installment
• collateral

Property that a business uses to secure a loan is ___

• capital

• conditions

• collateral

• cash flow

A ​ (a)   score is also known as a ​ (b)   score.

• credit
• FICO
• capital
• APR
• cash
• loan