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






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






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






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






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






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






7. The chance or likelihood that something will happen.






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






9. The fee paid for insurance protection.






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






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






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






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






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






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






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






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






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






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






20. Taking risks with personal finances or personal assets






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






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






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






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






25. 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.






26. 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.






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






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






29. 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.






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






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






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






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






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






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






36. 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.






37. 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.






38. Money earned from investments and employment.






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






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






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






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






43. The chance that an investment has been misrepresented.






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






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






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






47. 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.






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






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






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