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






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






3. Minimum amount due on credit balance






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






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






6. A claim upon property to satisy a debt






7. 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.






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






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






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






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






12. A payment required for not fulfilling a contract






13. 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






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






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






17. 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






18. 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






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






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






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






22. Puchasing more than your budget allows






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






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






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






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






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






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






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






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






31. 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






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






33. An evaluation of a person's credit history






34. An interest rate that does not change






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






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






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






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






39. 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.






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






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






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






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






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






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






46. Financial organization that specializes in automobile loans to consumers






47. 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






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






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






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