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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 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.






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






3. 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.






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






5. 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.






6. One may hack into your computer or another computer system & including schools & credit card companies & and other places maintaining personal info.






7. How fast money in savings account or investment grows.






8. A written legal document directing a bank or credit union to pay a person or business a specific sum of money.






9. A non-cash contribution to a charitable organization which can be given a cash value.






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






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






12. The percentage of the costs of medical services paid by the patient.






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






14. An official record of a borrower's credit history & including such information as the amount and type of credit used & outstanding balances & and any delinquencies & bankruptcies & or tax liens.






15. The chance or likelihood that something will happen.






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






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






18. The costs of goods and services & including those that are FIXED (rent & car loans) and those that are VARIABLE (food & clothing & entertainment).






19. Someone who rummages through your trash looking for bills or other paper with your personal information on it.






20. 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.






21. Federal government program & financed by deductions from wages that pays for certain health care expenses for older citizens.






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






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






24. The chance that an investment has been misrepresented.






25. The act of giving to charitable organizations or to those in need.






26. The process of setting income aside for future spending. Saving provides ready cash for emergencies and short-term goals & and funds for investing.






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






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






29. The process of setting income aside for future spending. Saving provides ready cash for emergencies and short-term goals & and funds for investing.






30. 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.






31. The value of the second-best alternative that a person gives up when making one choice instead of another.






32. Federal government program & financed by deductions from wages that pays for certain health care expenses for older citizens.






33. A tax that takes a larger percentage of income from people in higher-income groups than from people in lower-income ones; (Example - U.S. federal income tax)






34. A person or company to whom money is owed.






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






36. Anything subtracted from your gross income.






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






38. A person or company to whom money is owed.






39. The process of comparing personal bank account records to the bank's records of that account balance in order to uncover any possible discrepancies.






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






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






42. The process used to determine What an individual wants to be & do or have (What a person wants to accomplish).






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






44. The costs of goods and services & including those that are FIXED (rent & car loans) and those that are VARIABLE (food & clothing & entertainment).






45. The fee paid for insurance protection.






46. The original amount of money deposited or invested.






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






48. The percentage of the costs of medical services paid by the patient.






49. An amount of money that the member or insured pays directly to a provider at the time services are rendered.






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