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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 financial institution deposit account that pays interest and allows withdrawals. (SHORT term goals)






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






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






4. The chance that an investment has been misrepresented.






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






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






7. 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.






8. Taking risks with personal finances or personal assets






9. 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.






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






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






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






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






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






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






16. A financial institution deposit account that pays interest and allows withdrawals. (SHORT term goals)






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






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






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






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






21. 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)






22. 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.






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






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






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






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






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






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






29. The chance that an investment has been misrepresented.






30. 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)






31. 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.






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






48. 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.






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






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