Study Questions 4

Lesson 1 (3. 0 points) 1. What is credit? (0. 5 points) The ability to obtain goods or serve before payment, based on the trust that payment go forth be made in the upcoming unlimited credit. 2. What is a credit score? (0. 5 points) Your credit score is a three-digit chip generated by a mathematical algorithm using information in your credit report 3. What is instalment credit? (0. 5 points) a lend repaid with interest in equal periodic payments. 4. What is revolving credit? (0. 5 points) Credit that is automatically renewed as debts are paid off. . What is noninstallment credit? (0. 5 points) Non-installment credit diagnose to a system of credit that is payable in one lump-sum amount by a condition date 6. touch at least one section of a credit report. (0. 5 points) lenders Lesson 2 (3. 0 points) 1. Name at least one of the steps in establishing credit. (0. 5 points) Incorporate your business. 2. Name at least one alternate option to establishing credit if you are unable to get a credit card yet. (0. 5 points) Get a secured credit card. 3. What is debt services default? 0. 5 points) When an individual, fellowship or sovereign nation borrows money, there are usually legal obligations that have been set place in a debt contract 4. What is the Better lineage Bureau? (0. 5 points) A Better Business Bureau (BBB) is a private, nonprofit organization that provides services and programs to assist consumers and businesses 5. What is a debt settlement program? (0. 5 points) is an approach to debt reduction in which the debtor and creditor agree on a reduced balance that will be regarded as payment in full. 1 6. What is bankruptcy? (0. 5 points) The state of being bankrupt more companies were facing bankruptcy bankruptcy proceedings. Lesson 3 (3. 0 points) 1. What is an annual constituent rate? (0. 5 points) the rate, for a payment period, multiplied by the number of payment periods in a year. 2. What is an annual percentage yield? (0. 5 points) The effe ctive annual rate of return taking into account the effect of intensify interest. APY is calculated by 3. Name at least one advantage of credit cards. 0. 5 points) stretch free use of funds, provided you always pay your balance in full, on time 4. Name at least one disadvantage of credit cards. (0. 5 points) Cost much more than other forms of credit, much(prenominal) as a line of credit or a personal loan, if you dont pay on time. 5. If you call for out a $1,000 loan for college at 7% interest, what is the principal? (0. 5 points) $1000 6. What is a loan? (0. 5 points) A thing that is borrowed, esp. a sum of money that is expected to be paid okay with interest.