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






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






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






4. 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)






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






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






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






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






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






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






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






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






13. Taking risks with personal finances or personal assets






14. Money earned from investments and employment.






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






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






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






18. 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.






19. 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)






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






21. The chance or likelihood that something will happen.






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






23. 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.






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






41. Anything subtracted from your gross income.






42. The fee paid for insurance protection.






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






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






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






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






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






48. 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.






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






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