Warm up for 10.8.13 Please answer the following questions in the same section of your notebook as...
-
Upload
gladys-flynn -
Category
Documents
-
view
213 -
download
1
Transcript of Warm up for 10.8.13 Please answer the following questions in the same section of your notebook as...
Warm up for 10.8.13
• Please answer the following questions in the same section of your notebook as your CNN student logs please. I will check your logs for CNN and warm ups on Friday, 10.11
• 1. What is a contract?• 2. What is a warranty?• 3. How is it legal for a minor, someone under the age of 18, to
sign a contract?• 4. What are the three parts of a contract? • 5. Make up an example of a contract and identify the three
parts of a contract.
Excellent, Good, Poor
• http://www.freescore.com/good-bad-credit-score-range.aspx
Credit
• Creditors: Provide money (lenders)
• Debtors: People who borrow money
• Credit Cards: Bank or company pays for a purchase, you pay the bank or company later.
• APR (Annual Percentage Rate): cost of credit each year
• Average amount of personal debt?
• In 2011, which city had the most amount of debt?
Banking
• By law, banks must provide customers with a statement about their accounts.
• Electronic Fund Transfer Act: Banks must investigate an error within 10 business days of a complaint.– Electronic Funds Transfer
Act
ATM (Debit) Cards
• Using these cards is the same process of writing a check.– You must have the $ for
a purchase in your account.
Stop Payment
• If a debit card or check book is stolen the bank can cancel the account.– Fees may apply.
• Notify the bank in 2 days:
• Notify the bank in 60 days:
• Afterwards:
Lost Credit Cards
• Only responsible for $50 after reporting a lost or stolen card
• Fair Credit Billing Act: If a billing error is reported within 60 days, the creditor must respond within 90 days.
• Fair Credit Billing Act
Beware!
• Balloon Payments: Early payments are much smaller than later payments
• Acceleration Clause: Creditors can require future payments are made immediately
• Bill Consolidation: Combining debt into one payment
• Truth in Lending Act: Must receive basic information about the credit
Equal Credit Opportunity Act
• Consumers cannot be refused credit based on race, gender, marital status, religion or source of income.
• Equal Credit Opportunity Act
• Equal Credit Opportunity Act
Fair Credit Reporting Act
• Creditors must inform consumers about the information received from a credit bureau
• Fair Credit Reporting Act
Oh No! I can’t pay!• Default: A consumer
who is unable to pay a debt
• Fair Debt Collection Practices Act: Protects consumers from abusive and unfair debt collection– Fair Debt Collection Act– Fair Debt Collection Act
Oh No! I still can’t pay!
• Bankruptcy: Federal courts take control of a debtors assets– May sell items– Remain in credit report
for 10 years
• Default Judgment: A creditor may sue a debtor
Still not paying!!
• Garnishment: employees are forced to give their salary directly to creditors– Wage Garnishment Act– Wage Garnishment Act
• Repossession: Creditors will take the collateral or possession to regain loan.– Rep Video