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






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






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






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






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






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






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






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






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






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






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






14. 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)






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






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






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






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






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






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






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






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






24. Anything subtracted from your gross income.






25. 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.






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






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






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






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






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






32. Money earned from investments and employment.






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






34. 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.






35. The fee paid for insurance protection.






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






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






38. 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.






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






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






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






42. 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.






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






44. 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.






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






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






47. Anything subtracted from your gross income.






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






49. The chance or likelihood that something will happen.






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