CHAPTER 18By: Chris Keyes3rd period

What is the definition of Credit Is the privilege of using someone else

money for a period of time

What is a Finance Charge Is the total dollar cost of credit including

interest and all other charges

What Interest Rate do Credit Card Companies often charge? Installment interest

List 4 Common Credit Card Companies with pictures Visa master card

Black card American express

Why is it important to know your credit rating It’s the person reputation for paying bills

on time

Good score- 750-815Bad score- 316-619

List 4 Benefits of using Credit1. Convenience2. Immediate possession 3. Savings4. Credit rating

List 4 Problems concerned with Credit

1. Overbuying2. Careless buying 3. Higher prices4. Overuse of credit

What is the Formula for Calculating the Interest?   I= P*R*T

What is a Credit Application Is a form on which you provide

information needed by a lender to make a decision about granting credit

What is the Truth in Lending Law Of 1968 was the first of a series of credit

protection laws

What is the Fair Credit Billing Act Requires prompt correction of billing

mistakes