Financial Algebra Chapter 9 Review!

Allows homeowners to borrow against the equity of their homes that they have already paid for.

• Home Equity Loan

• Finance

• Down Payment

• Equity (financial defn.)

• Collateral

A Federal Loan with a fixed interest rate and the US Dept. Of Edu pays for the interest until your are employed / graduate

• Federal Direct Subsidized Loan

• Federal Direct Unsubsidized Loan

• Payday Loan

A Federal Loan with a fixed interest rate, you pay the interest as soon as the loan is taken out.

• Federal Direct Subsidized Loan

• Federal Direct Unsubsidized Loan

• Payday Loan

A short term loan with an extremely high interest rate, usually taken out to pay for things in advance of a paycheck

• Private Loan

• Personal Loan

• Payday Loan

The length of a loan

• rate

• term

• principal

Selling off assets / investments for cash.

• Liquidate

• Lease

• Collateral

• Equity (financial defn.)

• Down Payment

"Renting" something for a determined period of time (cars, apartments, etc.)

• Liquidate

• Lease

• Collateral

• Equity (financial defn.)

• Down Payment

An asset pledged as security for a loan

• Liquidate

• Lease

• Collateral

• Equity (financial defn.)

• Down Payment

A sum of money that is paid immediately and taken from the total cost at the day of purchase

• Liquidate

• Lease

• Collateral

• Equity (financial defn.)

• Down Payment

How much liquidity a person / business has

• Liquidate

• Lease

• Collateral

• Equity (financial defn.)

• Down Payment