3.2 Loans Vocab

(a)   - an agreement that states the terms of the loan

​ ​ (a)   - the amount​ borrowed

​ (a)   (APR) - the interest rate you pay per year

​ (a)   - the person who agrees to pay back the loan if the borrower is unable to do so

​ (a)   - a type of insurance that pays a specified amount upon the policy holders death

​ (a)   - allows the borrower to make payments before the due date to reduce the amount of interest

​ Voluntary deductions from an employee's paycheck, used to pay off debts

The employer deducts money from the employee's paycheck to pay the creditor.

The last monthly payment on some loans that is much higher than the previous payments.

Organizations that extend loans are called ​ (a)   .