Terms
the amount you owe to someone else
debt
We talked about our work and path in life being impacted by, or a function of, 6 things. Name 2 of the 6 we talked about.
gifts, abilities, opportunities, education, experience, effort
It was part of God's plan.
What is a FICO score?
Credit score
Personal Finance is 20% head knowledge and _____.
80% behavior
an amount of money you need to pay toward expenses before your insurance will cover the rest
deductible
What is the application for free money to pay for school in the form of grants from the government?
FAFSA -- Free application for federal student aid
It's important to know your money personality. What are two money personalities we talked about?
Spender and Saver
Name 2 reasons that household debt increased in the USA
Normalization
Convenience
The knowledge and skills required to spend, save and manage money effectively.
Financial Literacy
A percentage of the borrowed money that must be paid back to the lender on top of what was borrowed.
Interest Rate
What does COA stand for?
Cost of Attendance
Name 2 out of the 5 Foundations for Financial Freedom according to Ramsey.
Save $500 for an emergency fund.
Get out of debt and stay out of debt.
Pay cash for College.
Pay cash for Car
Build wealth and give generously.
What is the first part of the Financial Freedom model we've been looking at?
Work yields income
Name two ways to reduce college expenses.
Scholarships
In state tuition
Living at home
Tennessee hope scholarship
Work study
A contract that allows you to borrow someone's property for a specific amount of time and money.
Lease
Expected Family Contribution (EFC)
What does it mean to be a steward of God's gifts?
We are not the owner of the gifts but we are called to use them wisely.
In 1958 what two things happened that increased debt.
Credit cards started and college students were first able to borrow money for college.
What is the equation for Net Worth
Net worth = assets - liabilities
The amount of time you have to pay off what you've borrowed before interest starts to accrue.
Grace Period
Social or personality-based skills that help someone work and collaborate productively.
Soft Skills
Name 2 out of the 3 principles of Biblical Stewardship that we talked about.
#1 God owns everything
#2 We are Stewards of what God gives us
#3 We will be held accountable
Name 3 good habits to cultivate to secure financial stability and financial freedom
No debt
Save
Invest early and consistently
Have a plan
Make goals
Failure to pay what’s owed on a debt.
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