Glossary of Credit Card Terms
Below is a list of credit card and credit industry terms which can assist with reading credit card statements as well as the fine print on credit related documents.
- Z Score
- The z-score looks at how likely it is that a bank will become bankrupt. It is a formula that puts a value on five financial ratios. It was determined by professor Edward Altman at the New York University in 1968.
- Zero Balance
- Zero balance means that an individual has no debt on his or her credit card. By leaving a credit card at zero balance there is a possibility of loosing some credit history and could potentially hurt your credit score, but might be negligible if you continue making payments on time and using the credit card smartly.
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