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






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






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






4. Taking risks with personal finances or personal assets






5. 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)






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






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






8. 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.






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






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






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






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






13. 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.






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






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






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






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






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






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






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






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






22. The chance or likelihood that something will happen.






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






24. Money earned from investments and employment.






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






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






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






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






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






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






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






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






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






34. 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.






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






36. 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.






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






38. Dollar amount or percentage of a loss that is not insured & as specified in an insurance policy.






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






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






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






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






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






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






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






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






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






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






49. The fee paid for insurance protection.






50. 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.