Test your basic knowledge |

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. Payments earned by households for selling or renting their productive resources. May include salaries & wages & interest and dividends






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






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






4. 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.






5. Taking risks with personal finances or personal assets






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






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






8. A written contract specifying the terms for the use of an asset and the legal responsibilities of both parties to the agreement & such as a property owner and tenant.






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






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






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






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






13. 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.






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






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






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






17. Anything subtracted from your gross income.






18. 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.






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






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






21. A statement about What a person wants to be & do & or have & accomplished by taking certain steps; provides direction to a plan of action.






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






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






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






25. A statement about What a person wants to be & do & or have & accomplished by taking certain steps; provides direction to a plan of action.






26. Dollar amount or percentage of a loss that is not insured & as specified in an insurance policy.






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






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






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






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






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






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






33. An agreement to provide goods & services & or money in exchange for future payments with interest by a specific date or according to a specific schedule.






34. 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)






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






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






37. Money earned from investments and employment.






38. 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.






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






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






41. Anything subtracted from your gross income.






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






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






44. 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.






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






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






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






48. Expenditures that change from week to week or month to month-- food & clothing & recreation & entertainment.






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






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