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






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






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






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






5. 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.






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






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






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






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






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






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






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






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






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






15. The chance or likelihood that something will happen.






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






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






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






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






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






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






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






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






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






26. 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.






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






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






29. Anything subtracted from your gross income.






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






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






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






33. 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.






34. 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.






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






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






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






38. 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.






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






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






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






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






43. 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.






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






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






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






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






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






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






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