Insurance
This type of insurance pays your bills (food, rent, gas, etc.) when you are hurt and you can't work.
What is disability insurance?
This includes all the records of loans you have taken out and paid back over your life.
What is your credit history?
A for-profit corporation owned by shareholders that takes deposits and makes loans and offers checking accounts.
What is a Bank?
Expenses that do not change from month to month (like rent, mortgage, or car payment).
What are fixed expenses?
An investment that is a share of ownership in a corporation.
What is a stock?
A small fixed fee you pay at the doctor's.
What is a copay?
This number is used by lenders to determine how much they charge you for interest on loans.
What is your credit score?
A non-profit membership organization that offers checking accounts, savings accounts, and loans.
What is a credit union?
Expenses that change from month to month (like food, entertainment, or vacation).
What are variable expenses?
An investment that is a loan to a corporation or a government.
What is a Bond?
This type of life insurance covers you for only a fixed period of time.
What is term life insurance?
This type of loan has no interest if paid back after a month. If you're stupid enough not to pay it back in a month, you pay compound interest compounded monthly.
What is a credit card loan?
The interest rate that you use to compare different loans with different characteristics.
What is annual percentage rate (APR)?
These taxes are taken out of your paycheck by the federal government and used to provide income to elderly people.
What is Social Security?
This is an investment that pools money from many people and uses the money to buy many stocks and/or bonds.
What is a mutual fund?
This is the name of the money you pay every month to have an insurance policy.
What is a premium?
Property that is used by a lender to secure a loan (the bank takes the property if you don't repay the loan).
What is collateral?
A type of interest that grows not only on the principal but also on all accumulated interest over time.
What is compound interest?
The value of the next best alternative choice you give up when making a financial decision.
What is opportunity cost?
This is a type of tax deferred retirement account that you control. You don't pay taxes on the income from it until after you retire.
What is an IRA?
This is the money you pay out of pocket when you need to use insurance.
What is a deductible?
A loan backed by collateral, like a house.
What is an emergency fund?
Your wages AFTER taxes and deductions.
What are net wages?
This is an investing technique in which you spread your money around different types of investments.
What is diversification?