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






2. 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.






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






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






5. 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.






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






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






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






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






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






11. The fee paid for insurance protection.






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






13. 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.






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






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






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






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






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






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






20. 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.






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






22. 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.






23. 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.






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






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






49. Money earned from investments and employment.






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