Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
24 Cards in this Set
- Front
- Back
|
Application scoring
|
The use of a statistical model to objectively evaluate and "score" credit applications and credit bureau data in order to assess likely future performance.
|
|
|
Bankruptcy
|
A proceeding in U.S. bankruptcy court that may legally release a percon from repaying debts owed. Credit reprots normaslly include bankruptcies for up to 10 years
|
|
|
Charge-off
|
The balance on a credit obligation that a lender no longer expects to be repaid and writes off as a bad debt
|
|
|
Collection
|
Attempted recovery of a past-due credit obligation that a lender no longer expects to be repaid and writes off as a bad debt.
|
|
|
Collection
|
Attampted recovery of a past-due credit obligation by a collection department or agency.
|
|
|
Consumer credit file
|
A credit bureau record on a given individual. It may include: consumer name, address, Social Security number, credit history, inquiries, collection records, and public records such as bankruptcy filings and tax liens.
|
|
|
Credit bureau
|
a cridit report agency that is a clearinghouse for info on the credit rating of individuals or firms
|
|
|
Credit bureau risk score
|
A type of credit score based solely on date stored at the major credit bureaus.
|
|
|
Credit history
|
a Crecord of how a consumer has repaid credit obligatins in the past
|
|
|
Credit Obligation
|
An agreement by which a person is legally bound to pay back borrowed money or used credit.
|
|
|
Credit report
|
information communicated by a credit reporting agency that bears on a consumer's credit standing. Most credit reports include: name,address, credit history, inquireis, collection records, and any public records such as bankruptcy filings and tax liens.
|
|
|
Credit risk
|
The likelihood that an individual will pay his or her credit obligations as agreed. borrowers who are more likely to pay as agreed pose less risk to creditors and lenders.
|
|
|
Credit score
|
This term is often used to refer to credit bureau risk scores
|
|
|
Default
|
A failure to make a loan or devt payment when due. usually and account is considered to be in default after being delinquent for several consective 30 day billing cycles
|
|
|
Delinquent
|
A failure to deliver even the minimum payment on a loan or debt payment on or before the time agreed.
|
|
|
Ezual Credit Opportunity Act
|
Federal legislation that prohibits discrimination in credit. The ECOA originally was enacted in 1974 as Title VII of the consumer credit protection act
|
|
|
Fair Credit Reporting act
|
Federal legislation that promotes the accuracy, confidentiality and proper use of info in the files of every consumber reporting agency
|
|
|
FICO scores
|
credit bureau risk scores produced from models developed by fair isaac.
|
|
|
Inquiry
|
an item on a consumers credit report that shows that someone with a permissible purpose
|
|
|
Installment debt
|
debt to be paid at regular times over a specified period of time.
|
|
|
Ensurance bureau score
|
an insurance rating based solely on credit bureau datya stored at the major credit bureaus
|
|
|
Late payment
|
a delinquent payment; failure to deliver a loan or devt payment on or before the time is agreed.
|
|
|
Revolving debt
|
Devt owed on an account that the borrower can repeatedly use and payback without having to reapply
|
|
|
Scoring model
|
a statistical formula that is used, usually with the helf of computer to estemate future performance of prospective borrowers and existing cusomers
|
