Plain language
Credit glossary
- Annual percentage rate (APR)
- A yearly expression of borrowing cost, subject to product-specific rules.
- Charge-off
- An accounting status a creditor may use after a debt is seriously past due. It does not automatically erase the debt.
- Collection account
- A debt being handled by a collector or collection department.
- Credit inquiry
- A record that someone accessed your credit file. Hard and soft inquiries are treated differently.
- Credit limit
- The maximum revolving balance an issuer permits.
- Credit utilization
- Revolving balance divided by revolving credit limit.
- Delinquency
- A payment that is late under the account agreement.
- Security freeze
- A restriction on access to a credit file that can make new-account fraud more difficult.
- Tradeline
- An account entry shown on a credit report.