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






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






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






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






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






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






7. A nonprofit agency that gives free advice to people in financial difficulties






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






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






10. 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






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






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






13. Financial organization that specializes in automobile loans to consumers






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






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






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






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






18. 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






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






20. The act of lending money at an interest rate higher than that permitted by law






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






22. A number you choose and use to identify themselves to gain access to various accounts






23. 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.






24. If the consumer makes the minimum payment - interest charges continue to accrue on all outstanding balances.






25. The unscheduled partial or complete payment of the principal amount outstanding on a loan - such as a mortgage - before it is due.






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






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






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






29. The amount left over after subtracting - as - for example - the amount owed on a loan (also called principal balance) or the amount in an account






30. Deals with reorganization of businesses - provides that - unless the court rules otherwise - the debtor remains in possession of the business and in control of its operation






31. Puchasing more than your budget allows






32. Interest rates are effective annual yields






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






34. One large loan made to consumers to pay several debts at once






35. A card used for making payments; balance must be paid in full when the statement is received






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






37. A claim upon property to satisy a debt






38. Minimum amount due on credit balance






39. 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.






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






41. Debt that has been incurred primarily for the purchase of consumer goods






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






43. 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






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






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






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






47. Taking away property due to failure to repay the debt






48. Use their knowledge of federal - state - and local tax codes and publications to prepare tax returns and make sure that their clients do not pay unnecessary taxes.






49. An evaluation of a person's credit history






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