| A | B |
|---|
| collateral | item of value offered as a guarantee that a borrower will pay back a loan; |
| secured credit | loan with collateral offered as security for payment |
| installment credit | credit where the total amount of the loan is divided over a fixed time period into equal monthly payments |
| revolving credit | credit that is based on a fixed limit and charges are made on a continuing basis; |
| foreclosure | when a mortgage is not paid, the lender can take possession of the home and re-sell it |
| unsecured credit | loan that has no collateral |
| home equity line of credit | oan on the equity of the home that can be used like a credit card |
| equity | stored value of an asset; |
| bankruptcy | legal process to eliminate an individual or business’s debt |
