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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 original amount of money deposited or invested.






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






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






4. The fee paid for insurance protection.






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






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






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






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






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






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






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






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






13. 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.






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






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






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






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






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






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






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






21. 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.






22. 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.






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






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






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






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






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






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






29. Money earned from investments and employment.






30. 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.






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






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






33. An establishment that collects and distributes credit history info. of individuals & business.






34. The chance that an investment has been misrepresented.






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






36. 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.






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






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






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






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






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






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






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






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






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






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






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






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






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






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