Consumer Credit terms starting with C

32 terms

  1. Cap A cap is a ceiling, or the highest level to which something can go. For example, an interest rate cap limits the amount by which an interest rate can be…
  2. CARD Your card is the physical card, the account number, or any device (including a check) that can be used to access your credit card account.
  3. Cash advance You receive a cash advance when you use your card or account to do any of the following: obtain cash from an automated teller machine (ATM); or obtain…
  4. Cash-advance fee A fee charged when you use a credit card for a cash advance, such as withdrawing cash from an ATM.
  5. Closing Costs or Settlement Fees Fees paid to effect the closing of a mortgage. (Such as points, title fees, survey fees, etc.)
  6. Closing or Settlement The meeting between the seller, buyer and closing attorney when the property legally changes hands, the transaction is legally closed, or both.
  7. Closing Statement or Settlement Statement This is a document prepared by the Title Company that details the final and specific costs involved for both the buyer and seller in a real estate…
  8. Collateral Assets that are offered to secure a loan or other credit. For example, if you get a real estate mortgage, the bank's collateral is typically your house.
  9. Combined Loan-to-Value (CLTV) The relationship of the outstanding balances of a first and second mortgage to the value of the home used to determine the maximum percentage of value…
  10. Commitment An offer to grant a mortgage loan which outlines the terms, the amount of the loan, the interest rate and any conditions that the commitment or approval…
  11. Conforming Loan A loan which meets all requirements to be eligible for purchase or securitization by FNMA or FHLMC (Fannie Mae or Freddie Mac) which has a loan amount…
  12. Construction Loan A short-term, interim loan that provides disbursements to facilitate the construction of a home. Funds are disbursed at intervals as work progresses.
  13. Consumer Any natural person obligated or allegedly obligated to pay a debt incurred for personal, family or household use.
  14. Consummation The point in time when the contractual relationship between borrower and lender begins.
  15. Conventional Mortgage A mortgage loan which is not insured or guaranteed by a government agency such as FHA or VA.
  16. Cosigner Another person, not necessarily a relative, who also signs your loan contract and assumes equal responsibility for its repayment.
  17. Credit Bureau An agency that collects individual credit information and sells it for a fee to creditors so they can make a decision on granting loans.
  18. Credit Bureaus or “consumer reporting agencies,” are companies that compile credit reports, and supply credit information to businesses upon request.
  19. Credit Card A plastic card with a magnetic stripe that is used from time to time or over and over again to borrow money or buy goods or services on credit, and which…
  20. Credit card agreement A document that outlines the terms and conditions for using your credit card. It is your contract with your credit card company.
  21. Credit counseling service A service that employs credit counselors who will look at your financial situation and help develop repayment options.
  22. Credit History A record of an individual’s or company’s past borrowing and repaying behavior maintained by an independent credit reporting agency.
  23. Credit Life & Disability Insurance Insurance offered to loan and credit card customers that will pay the monthly payments on their debt if they become disabled or the balance of their debt…
  24. Credit limit The maximum amount of credit that is available on a credit card or other line of credit account.
  25. Credit Pre-Approval A process in which an individual can apply for a credit approval decision before he/she actually finds a home and enters into a Purchase and Sales…
  26. Credit Report A detailed report of an individual's credit history prepared by a credit bureau and used by a lender in determining a loan applicant's creditworthiness.
  27. Credit reporting agency See credit bureau.
  28. Credit Reports or “consumer reports,” contain information about your credit worthiness. Information is kept on file with a credit bureau and will display data about…
  29. Credit Score A number, roughly between 300 and 800, that measures an individual's credit worthiness. The most well-known type of credit score is the FICO® score.
  30. Credit Service Organization also known as a loan/mortgage broker. Starting in late September 2005 all Credit Service Organizations will be renamed loan brokers; see loan broker.
  31. Credit-limit-increase fee A fee charged if you ask for and receive an increase in your credit limit.
  32. Cure To bring your credit account current by paying all past due accounts.