Credit Management

Front

What should you do if you find an error on your credit report?

Back

Contact the credit bureau immediately.

Front

What is the effect of choosing a mortgage with a higher APR?

Back

It will increase the total amount you pay over the life of the loan.

Front

If Danya increases her down payment, what is the effect on her mortgage?

Back

It decreases the total amount she will need to borrow.

Front

What is the loan principal if Antonio has $4,000 for a down payment on a $29,000 car?

Back

$25,000.

Front

What does 'debt' refer to?

Back

Something that is owed that will decrease future earnings.

Front

What does a lower debt-to-asset ratio indicate?

Back

The better off he is financially.

Front

What is a credit score?

Back

A numerical representation of a person's creditworthiness.

Front

What is the purpose of a credit report?

Back

To provide a detailed account of an individual's credit history.

Front

What is the impact of a high credit score?

Back

It can lead to lower interest rates on loans.

Front

What is a down payment?

Back

An initial payment made when something is bought on credit.