Acronyms
FDIC
Federal Depository Insurance Corporation
Checking
An account that you access by writing a check or using a debit card.
Clear
The time it takes for the transfer of money from one account to another.
Federal Reserve
The US Central Bank
CFPB
Consumer Financial Protection Bureau
NCUA
National Credit Union Administration
Savings
An account where you put away money for the future and you can earn interest on your balance.
Claim
A request to your insurance company to pay for something.
CPI (Consumer Price Index)
How we gauge and track inflation.
Contractionary Policy
Raising interest rates to slow the economy
PYF
Pay Yourself First
CD
A certificate of deposit is a savings account that your set up for a certain period of time (six months, one year, etc) and you pay a penalty if you draw out the money early.
Budget
A plan for what you're going to spend your money on.
Monetary Policy
What the FED uses to adjust the economy through interest rates.
Fin-tech
Financial technology through internet banking and paperless bank transactions.
P&L
Profit and Loss Statement
Loan
An account that covers money you have borrowed.
Utilities
Necessities like electricity, gas, and water, which are paid monthly as part of your household expenses.
Fiscal Policy
The policies Congress uses to stimulate or slow the economy.
Expansionary Policy
Lowering interest rates and/or lowering taxes to expand the economy.
FED
The Federal Reserve
Credit Card
An account where you have a limit you can borrow and pay back monthly.
Credit
Borrowing money to pay for something with the understanding you'll pay it back, plus interest, later.
Fractional Reserve Policy
Another thing the FED uses to adjust the economy by changing the % the banks need to keep in reserve.
Disruption
When new changes come along by accident or by design that changes an industry so much that old business are either caused to change or are left behind.