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






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






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






4. Taking risks with personal finances or personal assets






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






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






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






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






9. 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.






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






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






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






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






14. The fee paid for insurance protection.






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






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






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






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






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






20. Anything subtracted from your gross income.






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






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






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






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






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






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






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






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






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






30. The original amount of money deposited or invested.






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






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






33. 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)






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






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






36. The chance or likelihood that something will happen.






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






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






39. 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.






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






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






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






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






44. 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.






45. Taking risks with personal finances or personal assets






46. 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.






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






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






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






50. The chance that an investment has been misrepresented.