CM- CH7 Test Review (P2)

Term that describes the contractual agreement between a borrower and a lender in which the borrower agrees to pay back the lender for money that the borrower receives, usually with interest.

• credit

• credit card

• line of credit

• credit report

Plastic card that allows a person to borrow money from the bank or financial institution that issued it.

• credit

• credit card

• line of credit

• credit report

Maximum amount of money a person may borrow with a credit card.

• credit

• credit card

• line of credit

• credit report

Summary of all the companies that have extended credit to a person.

• credit

• credit card

• line of credit

• credit report

Number that shows how well a person handles credit.

• credit score

• FICO score

• credit limit

• current balance

Most common credit score, named for the Fair Isaac Corporation, which provides the calculation for the score.

• credit score

• FICO score

• credit limit

• current balance

Maximum amount of money available on a line of credit.

• credit score

• FICO score

• credit limit

• current balance

Total amount of money owed to a lender.

• credit score

• FICO score

• credit limit

• current balance

Amount of money that can be used for purchases with the credit card.

• credit score

• FICO score

• available credit

• credit card statement

Report that shows the purchases made with a credit card, the current

balance, and the amount of money that is owed by the due date.

• credit score

• FICO score

• available credit

• credit card statement