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Financial Literacy Vocab

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 federal system of old-age & survivors' & disability & and hospital care (Medicare) insurance which requires employers to withhold wages from employees' paychecks and deposit that money in designated accounts.






2. A plan for managing money & dividing up expected income and expenses among spending and saving options based on personal goals during a given time period.






3. A state or federally chartered & not-for-profit financial cooperative that provides financial services to its member-owners who have met specific requirements.






4. An account in which an individual may set aside earned income in a tax-deferred savings plan for his or her retirement.






5. The length of time & in years that it takes an amount of money saved to double when it receives compound interest. This length of time can be found by dividing the interest rate into 72.






6. Costs paid when buying a house or real estate.






7. A contract between an individual and an insurance company where the individual makes a payments that are invested by the company and repaid to the individual at a later date & generally during retirement.






8. A company that makes loans for the purchase of a house or other real estate.






9. Payment for the use of someone else's money






10. A bank or credit union account that allows withdrawals by writing a check.






11. A bank or credit union account that allows withdrawals by writing a check.






12. Anything subtracted from your gross income.






13. A person who owns property and rents it to another.






14. A plastic card that authorizes the delivery of goods and services in exchange for future payment with interest & according to a specific schedule.






15. The percentage rate of interest charged to the borrower or paid to a lender & saver & or investor.






16. An expense that a taxpayer can subtract from taxable income. ex: deductions for home mortgage interest & and charitable gifts.






17. A plastic card used to deduct a purchase amount directly from your checking account.






18. Interest calculated periodically on the loan principal or investment principal only & not on previously earned interest.






19. Wages or salary before deductions for taxes and other purposes.






20. The belief that people should be taxed according to the benefits they receive from the good or service the tax supports. (Example- gas tax)






21. Someone who knowingly deceives you for their own personal gain.






22. A financial institution deposit account that pays interest and allows withdrawals. (SHORT term goals)






23. Using a person's name or personal information without the person's permission to steal money or get other benefit.






24. Using a person's name or personal information without the person's permission to steal money or get other benefit.






25. A plastic card that authorizes the delivery of goods and services in exchange for future payment with interest & according to a specific schedule.






26. Commonly called 'take home pay'; it is your income AFTER all deductions and exemptions.






27. The belief that people should be taxed according to the benefits they receive from the good or service the tax supports. (Example- gas tax)






28. The length of time & in years that it takes an amount of money saved to double when it receives compound interest. This length of time can be found by dividing the interest rate into 72.






29. A loan to finance the purchase of real estate & usually with specified payment periods and interest rates.






30. Expenditures that are the same from week to week or month to month; such as mortgage or rent or car payments.






31. An establishment that collects and distributes credit history info. of individuals & business.






32. Interest calculated periodically on the loan principal or investment principal only & not on previously earned interest.






33. A measure of creditworthiness based on an analysis of the consumer's financial history & often computed as a numerical score & using the FICO or other scoring systems to analyze the consumer's credit.






34. A state or federally chartered & not-for-profit financial cooperative that provides financial services to its member-owners who have met specific requirements.






35. A measure of the uncertainty of an investment's rate of return; possible losses.






36. A loan to finance the purchase of real estate & usually with specified payment periods and interest rates.






37. A set of principles or beliefs that govern an individual's actions.






38. A long-term loan to buy real estate including land and the structures on it.






39. A contract between an individual and an insurance company where the individual makes a payments that are invested by the company and repaid to the individual at a later date & generally during retirement.






40. A legal organization providing services or activities without commercial or monetary gain.






41. A person who pays rent; the legal name for a renter.






42. A state of being legally released from the obligation to repay some or all debt in exchange for the forced loss of certain assets.






43. The original amount of money deposited or invested.






44. The fee paid for insurance protection.






45. The original amount of money deposited or invested.






46. A retirement plan that allows employees in private companies to make contributions of pre-tax dollars to a company pool that is then invested in stocks & bonds & or money markets.






47. A long-term loan to buy real estate including land and the structures on it.






48. A system of values and principles of conduct that promotes good customs and virtues while condemning bad customs and vices.






49. Services offered by organizations that help consumers find a way to repay debts through careful budgeting and management of funds.






50. A plan for managing money & dividing up expected income and expenses among spending and saving options based on personal goals during a given time period.