Budgeting and Income
A plan to track your income and expenses.
What is a budget?
Annual percentage rate showing yearly borrowing costs.
What is an APR?
Anything of value that you own.
What is a Asset?
Money you earn from work or other sources.
What is a income?
A three-digit number showing your credit risk.
What is a credit score?
How fast an asset converts into cash.
What is liquidity?
Money you spend on goods and services.
What is expenses?
The original amount of money borrowed on a loan.
What is a principal?
Interest earned on both principal and past interest.
What is compound Interest?
Total assets minus your total liabilities.
What is a net worth?
Any debt or money that you owe.
What is a liablity?
The general rise in prices over time.
What is inflation?
Money saved specifically for unexpected costs, like a medical bill or car repair.
What is emergency fund?
An asset, such as a home or a car, that you pledge to a lender to secure a loan.
What is a Collateral
A deposit account used for daily spending, bills, and ATM access.
What is a checking account?