Whether you're getting a credit card, a loan or a mortgage, you need to understand several general points about borrowing money.

Don't sign anything until you answer these 10 questions:

1. How much is the loan?
Seems silly, I know, but make sure you understand exactly how much you owe. For credit cards, what is your maximum debt exposure?

2. How can my debt increase?
Here's a trip wire. When you're late or miss payments, interest and fees will accumulate on top of what you already owe. Understand how your loan balance can grow.

3. How long do I have to repay, and what happens if I need more time?
What's the duration of your loan? What happens if you can't pay by the due date?

4. What's the interest rate?
How and when can it change? Is your interest rate fixed for some period of time - no matter what? Or will it change if some standard rate (such as the prime rate) goes up or down?

5. What happens to the interest rate if I miss a payment?
Another explosive device. Credit card companies get rich when you miss payments because default rates kick in – sometimes doubling your initial rate.

6. What is my monthly payment?
Many loans have a regular schedule of fixed payments. These are known as 'amortizing loans,' meaning the loan pays itself off over time. Understand how and when you are required to make principal payments.

7. What additional fees might I accrue?
Before you take a mortgage loan, understand all the other fees you will pay at the loan closing. Laws about Good Faith Estimates require you to get advance warning. Credit cards issuers are notorious for charging outrageous late or over-the-limit fees.

8. Can my loan be accelerated?
What if your loan has a set duration – say, five years – and you miss a payment? May the lender sue you for the total amount due?
This is a actually trick question because the answer is almost always YES. If you miss a payment (or do something else wrong), the lender can always say, "I want all my money back NOW!"

9. Are there any prepayment penalties?
Although not as common today, prepayment penalties will sneak back whenever lenders have a slight opening to do so. A prepayment penalty means you have to repay the lender his or her money - plus a fee for doing so. Talk about adding insult to injury!

10. Are you a nice person?
Just kidding! But I do want to make a point: Lenders are not on your side.

They live to take money out of your pocket in exchange for putting money into your pocket. The rub is they want to take out more than they put in. You must understand that.

Of course, these ten questions will lead to more questions. Which is a good thing, trust me. Keep asking until you understand the danger areas of the prospective loan. Pester the lender with as many questions as you need to understand how your loan works.