Consumer Ed And Personal Finance Last Test!!

Front 1

home warranty

Back 1

it protects owners from faults in the structure for a specific time from the date of purchase

Front 2

cooperative

Back 2

its members may be required to pay taxes or other housing expenses incurred by other members of the group

Front 3

mortgage

Back 3

a loan used to purchase a housing unit that is used as collateral for the loan.

Front 4

earnest money

Back 4

is paid by consumers when they offer to buy a house to show that they are seriously interested in buying the structure

Front 5

lease

Back 5

a legal document that binds a consumer to pay rent for the use of a housing unit over a specific period of time that is typically one year.

Front 6

title

Back 6

a legal document that indicates ownership of a building or piece of property

Front 7

prepayment priviledge

Back 7

included in most mortgages that allows borrowers to pay their debt before it is due without being required to pay any extra amounts

Front 8

condominium

Back 8

a single unit in a larger structure that is privately owned and affords the owner most of the same benefits as a free standing house

Front 9

discount points

Back 9

are paid by borrowers in a mortgage transaction and typically amount to several percent of the amount borrowed

Front 10

warrant of habitability

Back 10

this is something that people who rent housing units excpect to recieve. it assures them they will have a safe and healthy place to live.

Front 11

finance charge

Back 11

what consumers pay when they borrow money that includes all payments for the loan except repayment of the original principle.

Front 12

bankruptcy

Back 12

what conusmers do to escape their debts

Front 13

net worth

Back 13

a consumers net worth is the difference between that persons total assets adn liabilities

Front 14

asset

Back 14

anything of value that a consumer owns

Front 15

interest

Back 15

requires a borrower to pay off an entire loan when a single payment is missed

Front 16

collateral

Back 16

after a loan, that property that they used may be taken to satisfy the debt in cases of non-payment

Front 17

right of recession

Back 17

may be used to break teh agreement wihtin three days of when it was signed. (used when a consumer agrees to secure a loan)

Front 18

liability

Back 18

any unit of value that a consumer owes

Front 19

garnishment

Back 19

consumers who do not meet their financial obligations may experience garnishment of their wages

Front 20

annual percentage rate

Back 20

a loan is the actual percentage of the amount borrowed that the borrower must pay

Front 21

no fault auto insurance

Back 21

with no fault auto insurance your insurance will pay for your medical care if you are injured in an automobile accident regardless of who was at fault.

Front 22

basic form policy

Back 22

costs the least but also provides the fewest types of homeowners coverage

Front 23

generalists

Back 23

lawyers who only offer basic legal services

Front 24

zero deductible

Back 24

buying comprehensive or collision insurance with a zero deductible can be very expensive.

Front 25

comprehensive form policy

Back 25

the most expensive type of homeowners insurance policy

Front 26

residence contents broad form policy

Back 26

all renters should buy a residence contents broad form policy to protect themselves from losses in their homes

Front 27

assigned risk

Back 27

drivers who are refused insurance because of their driving record are able to purchase coverage through an "assigned risk" pool

Front 28

broad form policy

Back 28

it provides neither the least nor the greatest types of homeowners' coverage available

Front 29

nonlegal professional

Back 29

it's qualified to provide competent but inexpensive legal advice

Front 30

umbrella policy

Back 30

consumers may protect themselves from large liability judgments by buying an "umbrella policy"