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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. Costs paid when buying a house or real estate.






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






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






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






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






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






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






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






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






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






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






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






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






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






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






17. 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.






18. Taking risks with personal finances or personal assets






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






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






21. 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)






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






23. 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.






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






25. The chance or likelihood that something will happen.






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






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






29. 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.






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






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






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






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






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






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






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






37. The original amount of money deposited or invested.






38. The chance or likelihood that something will happen.






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






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






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






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






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






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






45. The chance that an investment has been misrepresented.






46. 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.






47. 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.






48. The chance that an investment has been misrepresented.






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






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