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. A claim upon property to satisy a debt






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






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






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






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






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






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






8. A loan that is repaid with a fixed number of periodic equal-sized payments






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






10. Failure to repay a debt






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






12. 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






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






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






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






16. 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






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






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






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






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






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






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






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






24. Puchasing more than your budget allows






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






26. 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.






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






28. An interest rate that does not change






29. 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.






30. Minimum amount due on credit balance






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






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






33. An evaluation of a person's credit history






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






35. 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.






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






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






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






39. 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






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






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






42. 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






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






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






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






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






47. 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






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






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






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