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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. Payment for the use of someone else's money






2. 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.






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






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






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






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






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






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






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






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






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






12. 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.






13. 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.






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






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






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






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






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






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






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






22. The fee paid for insurance protection.






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






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






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






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






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






28. 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.






29. 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.






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






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






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






33. 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.






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






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






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






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






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






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






40. 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.






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






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






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






44. 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.






45. 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.






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






47. 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.






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






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






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