NGPF 2.1 Intro to Credit

In a loan, the amount of money you are borrowing and have to pay back.

The amount of time it will take you to repay a loan, usually measured in months

A fee, usually measured as a percentage, that you have to pay on top of any principal when you take out a loan

A type of loan where there is something physical that can be taken if the loan is not repaid

A type of loan where there is nothing physical that can be taken if a loan is not repaid

A loan with an interest rate that stays the same over the course the term of a loan

A loan with an interest rate that may change (rise or fall) over the course of a loan

A loan that is one set amount of principal loaned and a set repayment term

A type of loan that can be used as needed and will have an irregular, or changing depending on use repayment term

Organize these options into the right categories

Groups:

(a) Types of Secure Loans

,

(b) Types of Unsecure Loans

• Mortgage Loan

• Student Loan to go to college

• Loan to buy a car

• A Credit card