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 interest rate that does not change






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






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






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






5. 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.






6. 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






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






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






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






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






11. 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






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






13. Puchasing more than your budget allows






14. 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.






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






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






17. Interest rates are effective annual yields






18. 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






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






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






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






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






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






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






25. A claim upon property to satisy a debt






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






27. 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.






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






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






30. Capacity - character and collateral


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






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






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






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






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






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






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






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. Failure to repay a debt






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






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






42. An evaluation of a person's credit history






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






44. Minimum amount due on credit balance






45. Financial organization that specializes in automobile loans to consumers






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






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






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






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






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