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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 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.






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






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






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






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






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






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






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






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






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






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






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






15. The chance or likelihood that something will happen.






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






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






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






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






20. 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.






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






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. Anything subtracted from your gross income.






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






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






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






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






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






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






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






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






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






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






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






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






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






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






38. 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.






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






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






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






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






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






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






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






46. 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.






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






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






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






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






Can you answer 50 questions in 15 minutes?



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