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






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






3. A written legal document directing a bank or credit union to pay a person or business a specific sum of money.






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






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






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






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






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






9. The fee paid for insurance protection.






10. Money earned from investments and employment.






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






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






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






14. 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.






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






16. A financial institution deposit account that pays interest and allows withdrawals. (SHORT term goals)






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






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






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






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






21. 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.






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






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






24. A statement about What a person wants to be & do & or have & accomplished by taking certain steps; provides direction to a plan of action.






25. Taking risks with personal finances or personal assets






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






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






28. The chance that an investment has been misrepresented.






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






30. An establishment that collects and distributes credit history info. of individuals & business.






31. A purposeful course of action or purpose in life that generally provides income






32. 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)






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






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






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






36. 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.






37. 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.






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






39. Costs paid when buying a house or real estate.






40. 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.






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






42. 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.






43. The chance or likelihood that something will happen.






44. The chance or likelihood that something will happen.






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






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






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






48. An establishment that collects and distributes credit history info. of individuals & business.






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






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.