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






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






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






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






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






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






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






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






9. 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.






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






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






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






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






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






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






16. Taking risks with personal finances or personal assets






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






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






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






20. 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.






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






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






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






24. 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.






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






27. 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)






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






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






30. 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.






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






32. 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.






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






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






35. 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.






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






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






38. Taking risks with personal finances or personal assets






39. 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.






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






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






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






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






44. 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.






45. 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.






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






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






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






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






50. The original amount of money deposited or invested.