Test your basic knowledge |

Financial Literacy Basics

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. A technique used for estimating the number of years required to double your money at a given rate






2. Investors who take to take chances






3. Is a numerical rating - based on credit report information that represents a person's level of creditworthiness






4. A technique to gain personal information for the purpose of identity theft - usually by means of fraudulent e-mail or pop-up messages.






5. Coins & art & memorabilia or other items that are popular from time to time






6. A clause included in many credit card company agreements that allows a credit card company to increase your interest rate if you make just one late payment.






7. Expenses that are not fixed.






8. A form of bankruptcy that allows you to repay many of your debts over a period of time - usually no more than five years.






9. The credit union term for a savings account.






10. A form of bankruptcy that allows you to erase most of your debt.






11. A certificate documenting the shareholder's ownership in the corporation






12. The amount a corporation borrowed in a bond situation






13. Investors who are afraid to make investments






14. Business Weekly & Forbes & Money






15. The amount of a loss you must pay out of your own pocket before the insurance company will step in and pay the rest.






16. An amount of money that is loaned on trust with the expectation that it will be repaid at a later date.






17. A technique used for estimating the number of years required to double your money at a given rate






18. A for-profit company that is owned by its stockholders and provides savings and checking accounts and other financial services to its customers.






19. On a credit card - the length of time you have before you start accumulating interest on an unpaid balance.






20. US treasury security that matures in 2 & 5 & or 10 years






21. The entire amount of money you owe to lenders






22. A card that is used to deduct a purchase amount directly from your checking account instead of drawing on a line of credit; also called 'check card.'






23. The practice of investing a fixed amount into the same investment at regular intervals - regardless of what the stock market is doing.






24. An amount that credit card companies can charge for the use of a credit card.






25. The belief - qualities - or standards that you consider important or desirable.






26. A payroll deduction collected by employers by law and sent to the state government to support state services.






27. An amount that credit card companies can charge for the use of a credit card.






28. An account you have at a financial institution that helps you accumulate and save money and earn a small amount of interest at the same time.






29. The chance that inflation will rise faster than the rate of return on an investment






30. A bank account against which the depositor can draw checks payable on demand.






31. The idea that money today is worth more than the same amount of money in the future due to its potential earning capacity.






32. Another term for budget






33. A formal contract to repay borrowed money with interest at fixed intervals






34. An investment security that is actually a diversified portfolio of equities - bonds or other securities. Investors purchase shares and can sell them at any time.






35. A term that describes investments on which earnings are not taxed until retirement






36. A government sector that requires all public corporations to make annual reports available to their stockholders






37. A general and progressive increase in prices






38. Newspapers list of securities






39. An amount of money that is loaned on trust with the expectation that it will be repaid at a later date.






40. Property consisting of houses and land






41. Is a numerical rating - based on credit report information that represents a person's level of creditworthiness






42. A goal to be achieved within the next three months.






43. The value of What is given up when you choose one option over another.






44. Earning interest on interest.






45. The amount of money someone is willing to loan you.






46. A fee charged to a borrower (especially for a mortgage loan) to cover the costs of initiating the loan.






47. A summary of a person's borrowing and repayment history.






48. Brokers who provided little or no information to clients






49. An electronic machine that bank customers and credit union members can use to withdraw cash and make other financial transactions.






50. Contacts to buy and sell commodities or stocks for a specific price on a specific date