Personal Finance Ch. 5-8

The convenience of using a financial institution with 24 hour banking requires a trade-off of personal service.
The purpose of a debit card is to transfer money electronically.
Time deposists consists of savings accounts.
The funds deposited into a checking account can be restricted for use by a holding period.
Another name for closed-end credit is installment credit.
Another name for open-end credit is revolving credit.
Revolving credit is a prearranged loand for a specified amount you can use by writing a special check.
In determining your credit capacity you 1st provide for basic necesitites (such as morgage or rent).
Most information in your credit file may be reported only for 7 years.
If you have a problem with your creditior, the best solution is to solve your problem with the creditor.
Parents or family members are a source of the least expensive loan.
If you are denied credit by a bank or credit union you should question your ability to afford the loan.
Most commonly purchased type of credit insurance is credit life insurance.
Federal Trade Commission enforces the fair debt collections practices act.
If you recieve a phone call from a debt collector they must send you a written notice with in 5 days.
Excesive in debtedness can result in heavy drinking, neglect of children, marital problems, and drug abuse.
Most reliable source of product information is likely to come from a food source ingredient label.
Items produced for retail stores are commonly sold under a store brand.
Express waranty is a specific agreement created by the seller or manufactuor.
Purpose of a service contract is to protect a product owner from expensive repairs.
Arbitration differs from madiation in that arbitration is legally binding.
If you desire some assurance of quality when buying a used car the best warrenty is usually offered from a new car dealer.
Most cars bought from private parties have no express waranty.
Sticker price on a car refers to the suggested retail price of a new car.
Storage of funds for future use is a purpose of savings services.
Checking accounts are frequently referred to as demand deposits.
To avoid high fees for loans a person should not borrow from a pawn shop.
In the bank reconsiliation process, service fees should be subtracted from the checkbook balance.
Morgage companys main purpose is providing lonad to purchase homes.
A good example of a closed-end credit is a morgage loan.
Line of credit is the maximum amount of credit you are alllowed by a creditor.
Debit card debits your account at the moment you buy goods/services.
If you co-sign for a loan you’ll have to pay up to the full amount of the debt if the borrower doesnt pay.
Marital status is included in your credit report.
If your credit application is denied you are entitled to know the specific reason.
Best way to obtain credit rating is to reppay your debts on time.
Most expensive loans are availabe from finance companies.
Toal $ amount you pay to use credit is called the finance charge.
Rule of 78 is used by creditios to determine how much interest you have payed at any point in the loan.
If you have trouble paying your bills try to solve the problem with your creditor.
Borrowing $ to pay old debt is one of the 16 danger signals of potential debt problems.
Impulse buying refers to unplanned spending.
Open-dating provides information on freshness.
Purpose of small claims court is to resolve minor consumer complaints.
Am implied warranty that comes with a used car is that the vehicle must be in operation condition.

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