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Test your basic knowledge |
Financial Literacy Vocab
Start Test
Study First
Subjects
:
literacy
,
personal-finance
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. An account in which an individual may set aside earned income in a tax-deferred savings plan for his or her retirement.
Charitable Giving
Landlord
Individual Retirement Account (IRA)
Social security
2. A statement about What a person wants to be & do & or have & accomplished by taking certain steps; provides direction to a plan of action.
Goal
Fixed expenses
Budget
Progressive tax
3. Using a person's name or personal information without the person's permission to steal money or get other benefit.
Lease
Identity Theft
Budget
Career
4. The process of setting income aside for future spending. Saving provides ready cash for emergencies and short-term goals & and funds for investing.
Career
Landlord
Nonprofit organization
Saving
5. A person or company to whom money is owed.
Creditor
Credit Bureau
401 k
Income
6. An amount of money that the member or insured pays directly to a provider at the time services are rendered.
Checking account
Copayment
401 k
Credit Report
7. A system of values and principles of conduct that promotes good customs and virtues while condemning bad customs and vices.
Income
Morals
Checking account
Interest
8. Someone who rummages through your trash looking for bills or other paper with your personal information on it.
Tenant
Tax Deduction
Dumpster Diving
Credit Bureau
9. A loan to finance the purchase of real estate & usually with specified payment periods and interest rates.
Rule of 72
Check
Benefits-received principle
Mortgage
10. Someone who knowingly deceives you for their own personal gain.
Bankruptcy
Closing Costs
Fraud
Mortgage company
11. A statement about What a person wants to be & do & or have & accomplished by taking certain steps; provides direction to a plan of action.
Mortgage
Goal
Dumpster Diving
Expenses
12. A person who owns property and rents it to another.
Landlord
Gross income
Rule of 72
Progressive tax
13. Interest calculated periodically on the loan principal or investment principal only & not on previously earned interest.
Simple Interest
Fraud Risk
Annuity
Gifts in-kind
14. A written legal document directing a bank or credit union to pay a person or business a specific sum of money.
Budget
Check
Individual Retirement Account (IRA)
Credit
15. A plastic card that authorizes the delivery of goods and services in exchange for future payment with interest & according to a specific schedule.
Consumer Credit Counseling
Net income
Credit Card
Saving
16. The belief that people should be taxed according to the benefits they receive from the good or service the tax supports. (Example- gas tax)
Creditor
Goal setting
Benefits-received principle
Gifts in-kind
17. 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.
Deductible
Credit Score/Rating
Credit Report
Probability
18. A state of being legally released from the obligation to repay some or all debt in exchange for the forced loss of certain assets.
Creditor
Medicare
Bankruptcy
Income
19. Federal government program & financed by deductions from wages that pays for certain health care expenses for older citizens.
Rule of 72
Dumpster Diving
Fraud Risk
Medicare
20. Wages or salary before deductions for taxes and other purposes.
Gross income
Rate of Return
Rule of 72
Debit card
21. The percentage of the costs of medical services paid by the patient.
Coinsurance
Deductible
Landlord
Credit
22. A state or federally chartered & not-for-profit financial cooperative that provides financial services to its member-owners who have met specific requirements.
Benefits-received principle
Credit Bureau
Credit union
Landlord
23. A written legal document directing a bank or credit union to pay a person or business a specific sum of money.
Opportunity Cost
Check
Hacking
Rate of Return
24. One may hack into your computer or another computer system & including schools & credit card companies & and other places maintaining personal info.
Principal
Medicare
Savings Accounts
Hacking
25. A legal organization providing services or activities without commercial or monetary gain.
Nonprofit organization
Check
Rate of Return
Savings Accounts
26. The fee paid for insurance protection.
Closing Costs
Premium
Savings Accounts
Ethics
27. An expense that a taxpayer can subtract from taxable income. ex: deductions for home mortgage interest & and charitable gifts.
Premium
Individual Retirement Account (IRA)
Check
Tax Deduction
28. A state of being legally released from the obligation to repay some or all debt in exchange for the forced loss of certain assets.
Tenant
Bankruptcy
Net income
Closing Costs
29. A bank or credit union account that allows withdrawals by writing a check.
Lease
Debit card
Lease
Checking account
30. Wages or salary before deductions for taxes and other purposes.
Check
Ethics
Credit Card
Gross income
31. Taking risks with personal finances or personal assets
Principal
Gambling
Creditor
Interest
32. Commonly called 'take home pay'; it is your income AFTER all deductions and exemptions.
Copayment
Gross income
Net income
Probability
33. An account in which an individual may set aside earned income in a tax-deferred savings plan for his or her retirement.
Reconcile
Gambling
Premium
Individual Retirement Account (IRA)
34. Federal government program & financed by deductions from wages that pays for certain health care expenses for older citizens.
Career
Medicare
Reconcile
Checking account
35. Expenditures that change from week to week or month to month-- food & clothing & recreation & entertainment.
Landlord
Rate of Return
Interest Rate
Variable expenses
36. The process of comparing personal bank account records to the bank's records of that account balance in order to uncover any possible discrepancies.
Premium
Mortgage
Debit card
Reconcile
37. A person who pays rent; the legal name for a renter.
Tenant
Fraud Risk
Benefits-received principle
Probability
38. A plastic card that authorizes the delivery of goods and services in exchange for future payment with interest & according to a specific schedule.
Charitable Giving
Career
Mortgage
Credit Card
39. 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.
Saving
Credit Report
Social security
Credit Report
40. A legal organization providing services or activities without commercial or monetary gain.
Consumer Credit Counseling
Risk
Progressive tax
Nonprofit organization
41. Interest calculated periodically on the loan principal or investment principal only & not on previously earned interest.
Ethics
Progressive tax
Reconcile
Simple Interest
42. Someone who knowingly deceives you for their own personal gain.
Ethics
Consumer Credit Counseling
Career
Fraud
43. The chance that an investment has been misrepresented.
Hacking
Interest
Fraud Risk
Risk
44. Dollar amount or percentage of a loss that is not insured & as specified in an insurance policy.
Rate of Return
Closing Costs
Gross income
Deductible
45. 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.
Check
Budget
Closing Costs
Fraud Risk
46. The act of giving to charitable organizations or to those in need.
Interest Rate
Charitable Giving
Mortgage company
Expenses
47. The chance that an investment has been misrepresented.
Hacking
Fraud Risk
Deductions
Coinsurance
48. An establishment that collects and distributes credit history info. of individuals & business.
Interest Rate
Rule of 72
Credit Bureau
401 k
49. 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.
Simple Interest
Copayment
Credit Report
Consumer Credit Counseling
50. A long-term loan to buy real estate including land and the structures on it.
Credit Report
Individual Retirement Account (IRA)
Check
Mortgage