Financial Literacy Flashcard

Front

What is the term for money owed?

Back

Debt

Front

Which type of loan involves equal payments over a fixed period? Options: Secured loan, Unsecured loan, Installment loan, Predatory loan

Back

Installment loan

Front

What is the maximum dollar amount that can be borrowed called?

Back

Credit limit

Front

What is a loan that doesn't require any collateral?

Back

Unsecured loan

Front

What is something you pledge to a lender if you fail to make payments?

Back

Collateral

Front

What is a rating used by credit reporting companies to help lenders decide credit extension?

Back

Credit score

Front

What summarizes a person's borrowing and repayment history?

Back

Credit history

Front

What is an initial payment made when something is bought on credit?

Back

Down payment

Front

What term describes lending practices that impose unfair loan terms?

Back

Predatory loans

Front

What is an academic program taken at the undergraduate level, typically after 2 years of study?

Back

Associate Degree