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






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






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






4. Minimum amount due on credit balance






5. Failure to repay a debt






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






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






8. 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






9. Financial organization that specializes in automobile loans to consumers






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






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






12. 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.






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






14. Capacity - character and collateral

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






16. 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






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






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






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






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






21. An interest rate that does not change






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






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






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






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






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 claim upon property to satisy a debt






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






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






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






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






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






33. A payment required for not fulfilling a contract






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






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






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






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






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






39. 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






40. 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






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






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






43. 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.






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






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






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






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






48. 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






49. Puchasing more than your budget allows






50. 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