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






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






3. 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.






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






5. 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.






6. The chance or likelihood that something will happen.






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






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






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






10. Taking risks with personal finances or personal assets






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






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






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






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






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






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






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






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






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






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






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






22. The chance that an investment has been misrepresented.






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






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






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






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






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






28. The original amount of money deposited or invested.






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






30. 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.






31. 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.






32. The fee paid for insurance protection.






33. The original amount of money deposited or invested.






34. 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.






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






36. 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)






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






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






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






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






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






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






43. Taking risks with personal finances or personal assets






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






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






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






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






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






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






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