Test your basic knowledge |

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






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






3. 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.






4. Money earned from investments and employment.






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






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






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






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






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






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






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






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






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






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






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






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






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






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






19. 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.






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






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






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






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






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






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






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






27. An expense that a taxpayer can subtract from taxable income. ex: deductions for home mortgage interest & and charitable gifts.






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






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






30. 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.






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






32. The original amount of money deposited or invested.






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






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






35. 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.






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






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






38. An expense that a taxpayer can subtract from taxable income. ex: deductions for home mortgage interest & and charitable gifts.






39. 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.






40. The fee paid for insurance protection.






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






42. 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.






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






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






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






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






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






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






49. 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.






50. 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)