Saving
This type of bank account earns interest and is designed for saving money
What is a savings account?
This is the term for buying something with the expectation that it will grow in value over time
What is investing?
What three-digit number shows how trustworthy you are to lenders?
What is a credit score?
What is the difference between an asset and a liability?
Assets are something you own, Liabilities are things you owe
This is the term for money set aside for unexpected expenses like medical bills or car repairs.
What is an emergency fund?
Owning part of a company through shares makes you this.
What is a shareholder?
One factor that will impact your credit score
Timely payments, Low credit utilization, ect...
If you win $1,000, how do you split it according to CFPB rules?
What is $500 (saving), $300 (spending), $200 (investing)?
These four categories would be classified needs, rather than wants
Rent, Transportation, Food, Phone, Clothing, Hygiene
This term measures how quickly an investment can be turned into cash without affecting its price.
What is liquidity?
This is one advantage of a good credit score
Less paid in interest, qualification for loans, ect
This is the FDIC insurance limit per depositor, per account category
What is $250,000?
This interest accrues on both the money you invested and the previously earned interest.
What is compound interest?
If you spend more money than you earn, you are running this type of financial shortfall.
What is a deficit?
If your credit card balance is $300 and your credit limit is $1,000, what is your credit utilization %?
What is 30%?
This type of scam might involve someone pretending to be your bank over text or email
What is phishing?
You will have this much money after investing 1,000 at 2% APY for one year
What is $1,020?
What percentage does the CFPB recommend as a minimum income percentage to invest?
20%
What is one organization that you can use to check your credit score?
Experian, Equifax, Transunion
This type of account lets you withdraw money at any time but typically pays lower interest than a CD.
Money Market Account