Credit Report: Definition, Contents, and How to Get It for Free
A credit report is a record compiled by a credit bureau that summarizes how you’ve used borrowed money and managed credit accounts. Lenders consult…
Credit Rating: Definition and Importance to Investors
A credit rating is an independent opinion—expressed as a letter grade—about a corporation’s, government’s, or specific bond’s ability to meet its debt obligations. In…
Creditor, and What Happens If Creditors Aren’t Repaid?
A creditor is any person or organization that lends money or supplies goods or services with payment deferred. In return for providing credit, the…
Credit-Linked Note (CLN), and How Does It Work?
A credit-linked note is a debt security that combines a regular bond-like payoff with a credit derivative (usually a credit default swap, or CDS).…
Credit Facility, and How Does It Work?
• A credit facility is a contractual arrangement between a lender (or syndicate of lenders) and a borrower that sets terms allowing the borrower…
Credit Default Swap: What It Is and How It Works
A credit default swap is a contract — a type of financial derivative — that lets one party transfer the risk of a borrower…
Credit Card: What It Is, How It Works, and How to Get One
• A credit card is a small plastic or metal card issued by a bank or financial firm that lets you borrow money to…
Basics of What a Credit Bureau Is and Does, Plus Major Ones
• A credit bureau is a company that gathers data about individuals’ borrowing and payment behavior, organizes that information, and supplies it—usually for a…
Credit: What It Is and How It Works
Credit is a contract: one party (the lender or creditor) provides money or goods now and the other (the borrower or debtor) promises to…
Check and Enhance Your Creditworthiness
Creditworthiness is an assessment lenders use to judge how likely you are to repay borrowed money. It combines your credit history (a detailed record…