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






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






3. Taking risks with personal finances or personal assets






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






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






6. 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.






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






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






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






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






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






12. The fee paid for insurance protection.






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






14. The chance that an investment has been misrepresented.






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






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






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






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






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






20. The original amount of money deposited or invested.






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






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






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






24. The chance that an investment has been misrepresented.






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






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






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






28. 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.






29. 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)






30. Money earned from investments and employment.






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






32. 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.






33. 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.






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






35. 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.






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






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. 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.






40. Money earned from investments and employment.






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






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






43. 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)






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






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






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






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






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






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






50. The original amount of money deposited or invested.