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 maximum amount of credit a lender will extend to a customer






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






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






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






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. The date on which a financial obligation must be repaid






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






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






9. 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






10. Minimum amount due on credit balance






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






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






13. 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.






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. Capacity - character and collateral

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






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






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






19. 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.






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






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






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






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






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






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






26. Failure to repay a debt






27. 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






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






29. 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






30. An evaluation of a person's credit history






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






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






33. 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






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






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






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. Financial organization that specializes in automobile loans to consumers






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






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






40. A payment required for not fulfilling a contract






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






42. A claim upon property to satisy a debt






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






44. 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






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






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






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






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






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






50. 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