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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. The fee paid for insurance protection.






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






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






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






5. 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.






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






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






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






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






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






11. 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.






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






13. The chance or likelihood that something will happen.






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






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






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






17. 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.






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






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






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






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






22. 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)






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






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






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






26. 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.






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






28. The chance that an investment has been misrepresented.






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






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






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






32. Anything subtracted from your gross income.






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






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






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






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






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






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






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






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. 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.






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






43. A person who owns property and rents it to another.






44. Taking risks with personal finances or personal assets






45. 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.






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






47. 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)






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






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






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