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. The date on which a financial obligation must be repaid






2. 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.






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






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






5. Financial organization that specializes in automobile loans to consumers






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






7. Puchasing more than your budget allows






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






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






10. Interest rates are effective annual yields






11. 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.






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






13. Minimum amount due on credit balance






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






15. A payment required for not fulfilling a contract






16. An interest rate that does not change






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






18. 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






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






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






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






22. A claim upon property to satisy a debt






23. 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.






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






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






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






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






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






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






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






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






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






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






34. 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






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






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






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






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






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






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






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






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






44. An evaluation of a person's credit history






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






46. 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.






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






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






49. Failure to repay a debt






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