| A | B |
|---|
| credit | a deduction from what is owed/purchaseing goods with delayed payment |
| stop payment | depositor order to a bank to refuse to honor a specific check drawn by him or her |
| creditors | person who loans money/provides credit/gives goods before payment is made |
| debtors | person who owes money or buys on credit |
| uninsured credit | credit based only on a promise to repay in the future |
| secured credit | credit for which consumer must put up some kind of property in case debt is not paid |
| collateral | money or property given as security in case person is not able to repay a debt |
| annual percentage rate | the interest rate paid per year on borrowed money |
| usury | unlawful act of charging interest at rates higher than the state's legal limit |
| variable interest rate | interest rate charged for credit at rate that changes slightly from time-to-time, going up or down within certain limits, depending on changes in the economy |
| balloon payments | financing agreement in which last payment of loan is much higher than regular monthly payment |
| exhilaration clause | permits creditor to exhilarate loan, making all future payments due immediately in event consumer misses single payment |
| bill consolidation | form of credit, where lender combines all of a persons debts into a single monthly payment |
| bankruptcy | procedure under federal bankruptcy act by which person is relieved of all debts once he/she places all money in a courts care |
| repossess | to take back debtors property because debtor failed to repay his debt |
| default judgement | ruling against party to lawsuit which fails to take appropriate action |
| garnishment | legal authorized process of taking person's money generally by taking part of person's wages in order to pay creditors |
| attachment | act of taking a debtors property/money to satisfy a debt by court approval |
