Test your basic knowledge |

Subject : 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. One that requires you to keep a savings account as security






2. One who places mortgage loans with lenders for a fee - but does not orginate or service loans.






3. A court action in which a portion of an employee's wage is set aside to pay a debt owed a creditor






4. Capacity - character and collateral


5. Legal process that allows someone deeply in debt to create a plan to repay their debts






6. The right to hold - possess - control and dispose of property






7. Means that the APR can go up or down depending on economic factors






8. The total amount that a person is charged for borrowing money; includes interest plus any service charges or insurance premiums






9. Loans for which the borrower is required to pledge specific assets as collateral or security






10. Is a loan that does not require collateral from the borrower






11. Any of a number of fraudulent - deceptive - discriminatory - or unfavorable lending practices. Many of these practices are illegal - while others are legal but not in the best interest of the borrowers.






12. Deals with debt adjustment or reorganization for individuals - allows people to put forward a plan to repay creditors over time - usually from future income






13. Yearly percmet amount it will cost a person to use credit






14. An interest rate that does not change






15. A credit agreement that allows consumers to pay all or part of the outstanding balance on a loan or credit card. As credit is paid off - it becomes available again to use for another purchase or cash advance






16. Provided a temporary loan at a high interest rate until your next paycheck






17. An evaluation of a person's credit history






18. A report showing all accumulated credit data on an individual; This is used for granting or denying credit






19. Aa financial institution that accepts deposits and channels the money into lending activities






20. A claim upon property to satisy a debt






21. Provides a uniform manner of calculating and presenting the terms of consumer loans to enable you to compare costs so you can make informed choices about credit






22. Home owners can borrow against the appraised value of their already purchased homes






23. Bank or business that allows somebody to purchase goods and services and pay for them later - often with interest






24. The crime of obtaining someone else's personal data and using it for financial gain or to defraud or deceive






25. A credit rating around 500 or lower is high enough risk that many lenders will refuse a line of credit - and those that do grant one will penalize the borrower with high interest rates and difficult terms.






26. A company that collects information from various sources and provides consumer credit information on individual consumers for a variety of uses. It is an organization providing information on individuals' borrowing and bill paying habits.






27. Minimum amount due on credit balance






28. When someone with strong established credit signs a contract along with the borrower






29. A long-term loan extended to someone who buys property






30. Charge very high interest for loans based on the value of tangible assets (such as jewelry or other valuable items)






31. A penalty for making a payment after the due date






32. A period in which a debt may be paid without accruing further interest or penalty






33. Provides individuals with revolving open-end credit - which they can draw from repeatedly up to some preset limit






34. As related to credit - an evaluatin of a person's net worth






35. Money lent: a loan given in cash - especially by an employer or credit card company - in anticipation of the borrower's being able to repay it






36. A legal document that provides a history of ownership and entitlement by the current owner






37. Interest rates are effective annual yields






38. Is a fellowship of men and women who share their experience - strength - and hope with each other that they may solve their common problem and help others to recover from compulsive debting. The only requirement for membership is a desire to stop inc






39. A legal proceeding in which the creditor either sells or repossesses property for failure to repay a debt






40. The date on which a financial obligation must be repaid






41. Puchasing more than your budget allows






42. The price a borrow pays a creditor for the use of money over a period of time






43. The maximum amount of credit a lender will extend to a customer






44. Failure to repay a debt






45. The process of taking a business' real assets and turning them into cash - either to pay off debt or to reap a personal profit






46. An arrangement in which a bank or vendor extends a specified amount of unsecured credit to a specified borrower for a specified time period






47. A numerical rating based on person's credit history that represents their credit worthiness






48. An interest rate that moves up and down based on the changes of an underlying interest rate index






49. A record of whether or not a person has paid his or her bills on time in the past






50. Dealing with liquidation - provides for a court-appointed interim trustee to make management changes - arrange unsecured financing - and generally operate the debtor business to prevent loss.