| A | B |
|---|
| maturity day | date car payment is due |
| interest | cost of buying on credit |
| documentation | collection of loan paper work |
| application | credit form that provides information to lender |
| underwriting | reviewing a credit file for soundness |
| credit limit | maximum amount that can be charged |
| open ended | A home equity loan is ______. |
| funding | last step of the credit process |
| multipurpose | credit card accepted at several locations |
| single purpose | credit card only accepted at local dept. store |
| cosigner | person who guarantees a loan will be paid |
| consumer finance company | best choice for people with poor credit |
| life | type of insurance a person can borrow against |
| creditor | individual who makes a loan |
| garnishment | judgement allowing creditor to take debtor's wages |
| repossess | If debtor fails to pay, bank may _____. |
| collateral | item used to secure a loan |
| interest rate | a stated percentage of the principal |
| principal | amount owed upon which interest is calculated |
| credit counselor | helps people who have problems paying back loans |
