Capacity- Used to determine creditworthiness. Calculated by determining if the person has a earning ability with the likelihood that they will continue to have this income against the amount of debt the person has.
Caps- In an adjustable rate mortgage, this is the highest amount the interest rate will change.
Card Reader- A device used to read the encoding on plastic cards, such as credit cards and debit cards.
Cash Advance- The amount of money a creditor is willing to advance to you using an ATM machine.
Cash Advance Fee- The amount of money you will be charged to access a cash advance.
Cash Back- Money returned to you at a certain percentage based on what you have bought.
Cashier's Check- A check from the bank that comes from its funds. It is only issued for the amount that it is bought for, so therefore it will not bounce.
Certified Check- A check that the bank guarantees payee payment of.
Chapter 7 Bankruptcy- Court administered liquidation of the assets of the person filing bankruptcy.
Chapter 11 Bankruptcy- Filed to prevent the liquidation of assets. Both businesses and individuals may file this.
Chapter 12 Bankruptcy- Used for the farming community. Administered like chapter 11, but with special conditions for the farming family.
Chapter 13 Bankruptcy- Bankruptcy filed but the debts must be repaid according to a plan that the creditor accepts.
Charge Off- A debt that the lender never expects to be repaid and will write off as bad credit.
Clear title- A title that is free of all liens.
Closing Costs- The fees that both the buyers and sellers have when property is transferred. These costs will most likely include an attorney's fee, an ordination fee, and any taxes.
Closing Statement- A final statement that states where all funds are accounted for.
Commission- The fee that the broker makes for helping with the sale of the home. This is usually paid for by the buyer of the property.
Collection- Attempting to recovery any past due debt from an agency.
Consumer Credit File- A record kept on a individual from a credit bureau.
Co-signer- A person of legal age that signs a credit card agreement for someone who is not yet of legal age.
Credit Bureau- A company that sells information on you based on your credit card score. There are three major credit bureaus: Experian, TransUnion, and Equifax.
Credit Bureau Risk Score- A credit score offered based on the data found at the major credit bureaus.
Credit Card Number- The number assigned on your credit card.
Credit History- A report showing how a consumer paid off past debt.
Credit Limit- Total amount of money that may be charged to a credit card.
Credit Monitoring Services- A services that looks out for suspicious activity on credit cards.
Credit Obligation- An agreement that states what the lender is required to pay back legally.
Credit Report- Information that credit bureaus have collected on you such as SSN, name, address, credit history, and public records.
Credit Score- The number given to you based on how well you repay back what you have been lent.
Current Payment- The amount that is due.