Acronyms
SSN
Social Security Number
used for banking documents for identity verification **BE AWARE OF SCAMS
What is a BOGO deal?
buy one get one
be careful! sometimes these deals are not as good as they seem (buy 3 get 1 free, are you buying for the deal or because you really need those items?)
What percentage of you paycheck is recommended to go to savings?
20%
50/30/20 rule (50% goes towards needs, 30% goes toward wants, 20% goes into savings)
Deposit
putting money into an account
ACR
CAR
want or need and why?
PIN
Personal Identification Number
used for banking documents for identity verification **BE AWARE OF SCAMS
What is an impulse purchase?
an unnecessary purchase made without logic or thought
Name a way you can limit unecessary purchases when grocery shopping
grocery list, online pickup,...
Interest
cost to borrow money OR money earned from investments
ETNLFIX
NETFLIX
want or need and why?
APR
Annual Percentage Rate
yearly cost to borrow money, seen commonly with credit cards
What is comparison shopping?
comparing prices when making decisions (example: Lays potato chips vs generic)
*don't pay for the label
Why is paying with cash better than card?
paying with cash has a bigger visual impact on spending (handing someone a $100 bill registers more than tapping)
Overdraft Spending
spending more money than you have in your account *often results in fees
DEVIO MAEGS
VIDEO GAMES
want or need and why?
APY
Annual Percentage Yield
interest earned in 1 year
If you think you are about to make in impulse purchase, how long should you wait to consider before you purchase the item?
24hrs
Name an unnplanned expense
Fixed and Variable Expenses
Fixed Expenses that stay the same each month (rent, car insurance, phone bill, memberships)
Variable Expenses vary each month (gas, electric, toiletries, grocery bill)
MDCEINOTA
*hint: pills
MEDICATION
want or need and why?
FDIC
Federal Deposit Insurance Cooperation
protects bank transactions/deposits if bank fails
What is a subscription trap?
Continuing to pay for a recurring service you may not use or need
*FREE trials are not always free (if you are putting in credit card info it is not a free subscription)
*apps you don't frequently use
Why is paying only the minimum on a credit card potentially harmful?
Interest can accumulate, making the purchase cost more over time.
Principle (loan context)
the original amount of money borrowed
CATAOINV
*hint: the beach
VACATION
want or need and why?