HCM - Credit Card vocabulary

The maximum amount of money that a bank will lend to a borrower.

• Credit Limit

• Credit Score

• APR

The past behavior of a borrower in regard to paying back debt.

• Credit Limit

• Credit History

• Balance Transfer

An official record of a person credit transactions and payments

• Credit Report

• Credit Score

• APR

A person's level of creditworthiness is based on this number value.

• Credit History

• Credit Score

• Credit Limit

This is the rate of interest charged for using the credit card.

• APY

• APR

• CCC

Credit card companies use these to try to get people to apply for credit cards.

• Bonus offers

• High-Interest rates

• Large annual fees

If a person has a credit score of over 800, then their credit is described as ____________

• Good

• Very good

• Excellent

At what age can a person open a credit card if they have an income?

• 18 years old

• 21 years old

• 25 years old

What advice would you have a person with a low credit score that wants to raise it.

• Pay the minimum balance each month

• close your credit cards

• pay your credit card debt down as fast as possible

True or False .. It is recommended that people should only have 1 credit card open at a time.

• True

• False