Test your basic knowledge |

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 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.






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






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






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






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






7. Money earned from investments and employment.






8. The fee paid for insurance protection.






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






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






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






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






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






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






16. Anything subtracted from your gross income.






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






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






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






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






21. Money earned from investments and employment.






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






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






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






25. An agreement to provide goods & services & or money in exchange for future payments with interest by a specific date or according to a specific schedule.






26. The fee paid for insurance protection.






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






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






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






31. 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.






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






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






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






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






36. 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.






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






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






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






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






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






42. 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.






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






44. The chance or likelihood that something will happen.






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






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






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






48. 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)






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






50. The chance or likelihood that something will happen.