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






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






3. Taking risks with personal finances or personal assets






4. 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.






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






6. Money earned from investments and employment.






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






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






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






10. 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.






11. 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.






12. Money earned from investments and employment.






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






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






15. Taking risks with personal finances or personal assets






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






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






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






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






20. The chance or likelihood that something will happen.






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






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






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






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






25. 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.






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






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






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






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






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






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






32. The original amount of money deposited or invested.






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






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






35. Anything subtracted from your gross income.






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






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






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






39. The chance or likelihood that something will happen.






40. 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.






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






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






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






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






45. 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.






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






47. The chance that an investment has been misrepresented.






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






49. 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.






50. 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)