CREDIT SCORES
This three-digit number helps banks decide whether to lend you money.
What is a credit score?
A plan for how you will spend and save your money.
What is a budget?
Saving money so you can stop working later in life is called this.
What is retirement savings?
Insurance is designed to protect you from this kind of loss.
What is financial loss?
Paying your bills on time usually does this to your credit score.
What is improve (or increase) your credit score?
Food, housing, and transportation are examples of these.
What are needs?
This type of interest allows your money to earn interest on previous interest.
What is compound interest?
The amount you pay every month to keep your insurance active.
What is a premium?
This concept is using almost all of your available credit limit and negatively affecting your score.
What is maxing out your credit card?
According to the 50/30/20 rule, this percentage should go toward savings or paying debt.
What is 20 percent?
According to the Rule of 72, if your investment earns 8% annually, it will roughly double in this many years.
What is 9 years?
The amount you pay before your insurance company starts helping.
What is a deductible?
A credit score between 800 and 850 is considered this.
What is exceptional?
Money you earn from working is called this.
What is income?
Starting to save for retirement at a younger age generally gives you more of this financial advantage.
What is time (or compound growth)?
This type of insurance helps cover damages from a car accident.
What is auto insurance?
Applying for many loans or credit cards in a short period can cause these.
What are hard inquiries?
Netflix subscriptions and new sneakers are usually considered these.
What are wants?
The Rule of 72 helps estimate how long it takes for your money to do this.
What is double?
This type of insurance helps protect people who rent their homes or apartments.
What is renters insurance?
A teenager starts investing $100 each month at age 18 instead of waiting until age 30. This financial concept helps explain why the first person will likely have much more money at retirement.
What is compound interest?