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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. Expenditures that change from week to week or month to month-- food & clothing & recreation & entertainment.






2. Interest calculated periodically on the loan principal or investment principal only & not on previously earned interest.






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






4. The act of giving to charitable organizations or to those in need.






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






6. 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.






7. A non-cash contribution to a charitable organization which can be given a cash value.






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






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






10. A bank or credit union account that allows withdrawals by writing a check.






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






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






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






14. A legal organization providing services or activities without commercial or monetary gain.






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






16. 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.






17. One may hack into your computer or another computer system & including schools & credit card companies & and other places maintaining personal info.






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






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






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






21. The original amount of money deposited or invested.






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






23. 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.






24. A tax that takes a larger percentage of income from people in higher-income groups than from people in lower-income ones; (Example - U.S. federal income tax)






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






26. 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.






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






28. 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.






29. The length of time & in years that it takes an amount of money saved to double when it receives compound interest. This length of time can be found by dividing the interest rate into 72.






30. Taking risks with personal finances or personal assets






31. The chance that an investment has been misrepresented.






32. The fee paid for insurance protection.






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






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






35. A legal organization providing services or activities without commercial or monetary gain.






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






37. How fast money in savings account or investment grows.






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






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






40. Federal government program & financed by deductions from wages that pays for certain health care expenses for older citizens.






41. A non-cash contribution to a charitable organization which can be given a cash value.






42. Money earned from investments and employment.






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






44. A set of principles or beliefs that govern an individual's actions.






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






46. A long-term loan to buy real estate including land and the structures on it.






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






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






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






50. A state of being legally released from the obligation to repay some or all debt in exchange for the forced loss of certain assets.