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






2. 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.






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






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






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






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






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. The chance that an investment has been misrepresented.






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






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






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






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






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






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






15. 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.






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






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






18. Anything subtracted from your gross income.






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






20. 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.






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






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






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






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






25. 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.






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






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






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






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






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






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






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






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






34. Money earned from investments and employment.






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






36. Taking risks with personal finances or personal assets






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






38. 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)






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






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






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






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






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






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






45. 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.






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






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






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






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






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