Glossary of Terms

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Late Payments
Loan or credit payments that do not reach the lender or creditor on or before the payment due date. The indication of late payments on a credit report are very damaging to an individual's credit report.
Lease
A written document containing the conditions under which the possession and use of real and/or personal property are given by the owner to another for a stated period and for a stated consideration.
Lender
The person or entity providing credit or a loan to a borrower at specific terms and conditions. May be used interchangeably with the term creditor.
Liability
Liability refers to the responsibility for charges to an account. Generally, a cardholder agrees to be liable for any charges to his or her account, including purchases, fees and finance charges. If the cardholder allows someone else to make charges to his or her account (through, for example, an additional card), the cardholder is still responsible for paying the bill. Two people who apply for a card together may both be responsible for the entire balance. Your liability is described in the cardholder agreement you receive from the issuer. Be sure to read it carefully.
Line Of Credit
A preauthorized amount of credit offered to an individual, business or institution that is commonly secured against an asset such as a home (real estate).





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