The Concept Of Credit And Credit - 910 Words

I. The concept of credit A. What is credit? 1. According to Campbell Harvey, credit generally refers to the ability of a person or organization to borrow money, as well as the arrangements that are made for repaying the loan and the terms of the repayment schedule. A credit is contractual agreement in which a borrower receives something of value now and agrees to repay the lender at some date in the future, generally with interest. The term also refers to the borrowing capacity of an individual or company. The amount of money available to be borrowed by an individual or a company is referred to as credit because it must be paid back to the lender at some point in the future. For example, when you make a purchase at your local mall with your VISA card it is considered a form of credit because you are buying goods with the understanding that you ll need to pay for them later. 2. According to Discover, each time you apply for a credit card or a loan, the creditor may obtain a copy of your history. This action is called an inquiry and it will be recorded on your credit history. Too many inquiries within a short period of time may have a negative effect on your credit history and score. Lenders will assume you’re trying to get as much credit as possible because your spending is out of control. If your record is not as good and you have a lower score, you may not be able to borrow at all or you may have to pay higher rates. B. The two most common types of creditShow MoreRelatedCredit Card And Credit Cards853 Words   |  4 Pagesto help students who are being lured by credit predators on the myth that getting a credit card helps people to build their credits. We will use this opportunity to educate the audience on the concept of credit cards and its responsible use in order to avoid its snares. Furthermore, we plan on assisting the audience to gain insight on the rationale behind building good credit through borrowing. According to Tim Chen, the author of American Household Credit Card Debt, an article published in the yearRead MoreCredit Cards : Simplified : Credit Card1516 Words   |  7 PagesCredit Cards – Simplified What is credit card? A credit card is one of the most simple and convenient modes of payment. Borrowing from the definition in Wikipedia, ‘It allows the cardholder to pay for goods and services based on the holder s promise to pay for them. The issuer of the card creates a revolving account and grants a line of credit to the consumer (or the user) from which the user can borrow money for payment to a merchant or as a cash advance to the user.’ Credit cards are examplesRead MoreDevelopment Of Rad Tokens983 Words   |  4 Pagesfacilitate the development of our p2p lending platform and a line of credit products. What is RAD token? RAD token is issued to fund the development of RAD Lending Platform and a family of credit products built on it. RAD Lending platform is based on a concept of peer-to-peer (p2p) lending with credit products secured by borrower’s crypto assets. †¢ A family of credit products will start with: †¢ RAD credit card with grace period and a credit limit secured by borrower’s crypto assets †¢ Personal loan securedRead MoreAccounting1016 Words   |  5 Pagesof an efficient and effective accounting information system (Basic Concepts of Accounting Information Systems).) |    | | |   flexibility.  (All of the options are principles of an efficient and effective accounting information system (Basic Concepts of Accounting Information Systems).) |    | | |   useful output.  (All of the options are principles of an efficient and effective accounting information system (Basic Concepts of Accounting Information Systems).) |    | | |   all of these optionsRead MoreThe Tax Rules, Credits, And Exclusions983 Words   |  4 PagesThe tax rules, credits, and exclusions that are applicable to gift and to estates are continuously changing. As a result, one needs to be conscious of these changes so that effective tax reduction plans can be applied to a given event or situation. Although there are many estate planning concepts and provisions from a taxation perspective these concepts are two expansive and often to specialized to be covered all at once or to be relevance to a wide audience. Having said this, it is important toRead MoreA Study On The Community Health Course1187 Words   |  5 Pages The Community health Course was the longest course and was taught over the 5 year period in different modules that carried different credit units and different contact hours. The course was divided into 8 modules with a total of 14 credit Units. The modules covered in this course include; Biostatistics and Dem ography, Environmental Sanitation, Epidemiology, Control of Communicable Diseases, Maternal and Child health , Research Methods, Occupational Health, and Health Services Management moduleRead MoreThe Foreclosure Crisis Of The United States1075 Words   |  5 Pagesslow and often painful recovery process, many are battling continued high interest rates and home prices in attempt to get back their families back into a normalcy of life. As a solution to the ongoing ownership dilemma that many currently face, the concept â€Å"rent-to-own† has come into the economic limelight. This resolution has started to be viewed as a realistic option to regain ownership and improve quality of life after the fallout of the foreclosure catastrophe through benefiting both buyer and sellerRead MoreCash Connection Essay1718 Words   |  7 Pagesthe United States industry has to offer, while adhering to government restrictions and meeting customer’s needs. Reference: Thompson, Peteraf, Gamble, and Strickland. P. (2010). Crafting and Executing Strategy: The Quest For Competitive Advantage Concepts and Cases (18th ed.). Page, C-114. Which of the five generic strategies discussed in Chapter 5 most closely fits the competitive approach that Cash Connections is taking? * I choose a broad differentiation strategy as a best fit. Allen FranksRead MoreEssay about Preventing Plagiarism in Writing562 Words   |  3 Pagessame idea of copying ones content. Understanding the concept of plagiarism here are the ways to avoid plagiarism. As discussed earlier whenever an authors specific word is being used proper credit to the source must be given. Despite the use of own words for representing the idea of some other person proper citation must be given. If we understand the subject , plagiarism can more likely be avoided. To avoid plagiarism one can must give credit to the ideas, opinion , facts , quotations of other personsRead MoreDebt Is Every American s Favorite Word1294 Words   |  6 Pagesevery American’s favorite word. In America, the population has accumulated $19.4 trillion in national debt, thus why it is the nation’s favorite word. The debt has been collecting significant value throughout the years between various school loans, credit card debt and much more ways to create debt. The average American family owes over $100,000 dollars to the government. Debt is typically created by the different loans needed in order to live in a highly developed country like America. Every loan