Getting Credit Card Getting a Credit Car

Question Answer
credit Making purchases now and paying for them later (also known as borrowing!).
credit card A plastic card used to make purchases now and pay for them later
creditor Any bank or business that extends credit to others; a lender.
debtor Anyone who owes money; a borrower.
finance charge A fee for borrowing money, added to a monthly credit card bill.
late fees Additional fees that can be added to a credit card bill if the cardholder fails to make at least the minimum payment by the due date.
minimum payment The smallest required payment that a credit card holder can pay on a monthly bill and still remain in good standing with the lender.
principal The amount of money borrowed. On a credit card bill, the principal is the purchase price of all items bought with the card.
Payment Types What you actually use to buy something. There are lots of options: cash, checks, debit cards, and credit cards are just a few.
Interest The fee someone pays to be able to borrow money.

Leave a Reply

Your email address will not be published. Required fields are marked *