Q3 Key Vocabulary

Front

The value of property you possess after deducting your debts.

Back

capital

Front

A loan for a specific amount that must be repaid in full, including all finance charges, by a stated due date.

Back

closed-end credit

Front

Property pledged to assure repayment of a loan.

Back

collateral

Front

The use of someone else's money, borrowed now with the agreement to pay it back later.

Back

credit

Front

A person or business that loans money to others.

Back

creditor

Front

A person who borrows money from others.

Back

debtor

Front

The total dollar amount of all interest and fees you pay for the use of credit.

Back

finance charge

Front

A timeframe within which you may pay your current balance in full and incur no finance charges.

Back

grace period

Front

A preestablished amount that can be borrowed on demand with no collateral.

Back

line of credit

Front

The least amount you may pay each month under your credit agreement.

Back

minimum payment