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Financial Literacy Vocab

Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. The process of comparing personal bank account records to the bank's records of that account balance in order to uncover any possible discrepancies.






2. A person or company to whom money is owed.






3. The process used to determine What an individual wants to be & do or have (What a person wants to accomplish).






4. Someone who knowingly deceives you for their own personal gain.






5. A contract between an individual and an insurance company where the individual makes a payments that are invested by the company and repaid to the individual at a later date & generally during retirement.






6. A plastic card used to deduct a purchase amount directly from your checking account.






7. An account in which an individual may set aside earned income in a tax-deferred savings plan for his or her retirement.






8. The percentage of the costs of medical services paid by the patient.






9. An amount of money that the member or insured pays directly to a provider at the time services are rendered.






10. A retirement plan that allows employees in private companies to make contributions of pre-tax dollars to a company pool that is then invested in stocks & bonds & or money markets.






11. An agreement to provide goods & services & or money in exchange for future payments with interest by a specific date or according to a specific schedule.






12. The process of setting income aside for future spending. Saving provides ready cash for emergencies and short-term goals & and funds for investing.






13. The costs of goods and services & including those that are FIXED (rent & car loans) and those that are VARIABLE (food & clothing & entertainment).






14. A written contract specifying the terms for the use of an asset and the legal responsibilities of both parties to the agreement & such as a property owner and tenant.






15. A company that makes loans for the purchase of a house or other real estate.






16. The chance that an investment has been misrepresented.






17. An amount of money that the member or insured pays directly to a provider at the time services are rendered.






18. The percentage rate of interest charged to the borrower or paid to a lender & saver & or investor.






19. The percentage rate of interest charged to the borrower or paid to a lender & saver & or investor.






20. A loan to finance the purchase of real estate & usually with specified payment periods and interest rates.






21. Expenditures that are the same from week to week or month to month; such as mortgage or rent or car payments.






22. A measure of the uncertainty of an investment's rate of return; possible losses.






23. Taking risks with personal finances or personal assets






24. Someone who rummages through your trash looking for bills or other paper with your personal information on it.






25. Services offered by organizations that help consumers find a way to repay debts through careful budgeting and management of funds.






26. Services offered by organizations that help consumers find a way to repay debts through careful budgeting and management of funds.






27. A measure of creditworthiness based on an analysis of the consumer's financial history & often computed as a numerical score & using the FICO or other scoring systems to analyze the consumer's credit.






28. An agreement to provide goods & services & or money in exchange for future payments with interest by a specific date or according to a specific schedule.






29. A system of values and principles of conduct that promotes good customs and virtues while condemning bad customs and vices.






30. Using a person's name or personal information without the person's permission to steal money or get other benefit.






31. An official record of a borrower's credit history & including such information as the amount and type of credit used & outstanding balances & and any delinquencies & bankruptcies & or tax liens.






32. Wages or salary before deductions for taxes and other purposes.






33. A person who pays rent; the legal name for a renter.






34. The process of setting income aside for future spending. Saving provides ready cash for emergencies and short-term goals & and funds for investing.






35. A state or federally chartered & not-for-profit financial cooperative that provides financial services to its member-owners who have met specific requirements.






36. The value of the second-best alternative that a person gives up when making one choice instead of another.






37. The value of the second-best alternative that a person gives up when making one choice instead of another.






38. A person who owns property and rents it to another.






39. Anything subtracted from your gross income.






40. The process used to determine What an individual wants to be & do or have (What a person wants to accomplish).






41. An official record of a borrower's credit history & including such information as the amount and type of credit used & outstanding balances & and any delinquencies & bankruptcies & or tax liens.






42. A federal system of old-age & survivors' & disability & and hospital care (Medicare) insurance which requires employers to withhold wages from employees' paychecks and deposit that money in designated accounts.






43. Payments earned by households for selling or renting their productive resources. May include salaries & wages & interest and dividends






44. The process of comparing personal bank account records to the bank's records of that account balance in order to uncover any possible discrepancies.






45. A plan for managing money & dividing up expected income and expenses among spending and saving options based on personal goals during a given time period.






46. The belief that people should be taxed according to the benefits they receive from the good or service the tax supports. (Example- gas tax)






47. A plastic card that authorizes the delivery of goods and services in exchange for future payment with interest & according to a specific schedule.






48. Commonly called 'take home pay'; it is your income AFTER all deductions and exemptions.






49. Payment for the use of someone else's money






50. A company that makes loans for the purchase of a house or other real estate.