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






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 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.






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






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






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






8. 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.






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






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






11. Taking risks with personal finances or personal assets






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






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. Payment for the use of someone else's money






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






16. The chance that an investment has been misrepresented.






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






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






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






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






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






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






23. 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.






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






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






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






28. The fee paid for insurance protection.






29. 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)






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






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






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






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






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






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






36. The fee paid for insurance protection.






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






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






39. The original amount of money deposited or invested.






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






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






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






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






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






45. 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.






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






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






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






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






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