Credit Bureau

An agency that keeps your credit record.

Credit Card

A card used from time to time to borrow money or buy goods or services on credit. Visa, MasterCard, American Express and Discover are just some examples.

Credit Scoring System

A statistical system used to rate credit applicants according to various characteristics relevant to creditworthiness.

Creditor

A lender to whom money is owed.

Creditworthiness

Past and future ability to repay debts.

Debit Card (EFT Card)

A card that looks fairly identical to a credit card, that an individual can use to make purchases and other electronic transactions. The advantage of this card is that you are not adding to your debt, just withdrawing money from you bank account.

Default

Failure to repay a loan or otherwise meet the terms of your credit agreement.

Delinquency

Failure to make payments on time.

Disclosures

Information about a vehicles history that is given to the consumer, such as accidents or repairs that has been done to the car.

Down Payment

The amount of money that is initially deposited to lower the amount financed.

Earnest Money

Money given by a buyer to a seller as part of the purchase price to bind a transaction or assure payment.