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






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






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






4. A purposeful course of action or purpose in life that generally provides income






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






6. 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.






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






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






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






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






11. The original amount of money deposited or invested.






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






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






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






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






16. 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.






17. Money earned from investments and employment.






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






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






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






21. 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.






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






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






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






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






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






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






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






29. 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.






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






31. 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.






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






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






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






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






36. 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.






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






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






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






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






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






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






43. 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.






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






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






46. 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.






47. 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.






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






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






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