Credit Cards/Debit Cards
What is the maximum amount of money a lender allows you to borrow on a single credit card?
Credit Limit
What is the smallest amount you are required to pay each month to keep your account in good standing and avoid late fees?
Minimum Payment
What is interest calculated on both the original principal amount and all accumulated interest from previous periods?
Compound Interest
Who is the licensed professional representing buyers or sellers during home searches and negotiations?
Real Estate Agent (Realtor)
What is the range of a credit score?
300-850
What is the fee charged by a bank when you spend more money on your debit card than you have available in your checking account?
Overdraft Fee
What action causes a significant drop in your credit score and leaves a negative mark on your credit report?
Paying it off Late
What happens when a check is written for an amount greater than the account balance and the bank rejects it?
Bounced Check (Non-Sufficient Funds / NSF)
What is the initial evaluation by a lender that determines how much money you can borrow before you shop for homes?
Mortgage Pre-Approval
What repayment strategy focuses on paying off the smallest debt balances first to build psychological momentum?
Debt Snowball Method
What is the personal 4-digit security code required to complete transactions at an ATM or card terminal?
PIN (Personal Identification Number)
What is the interest outcome when you pay off your full statement balance on or before the due date every month?
$0 Interest Charged
What is the 9-digit number printed at the bottom left of a check that identifies the issuing financial institution?
ABA Routing Number
What is the professional assessment of a property's market value conducted to ensure the home is worth the loan amount?
Home Appraisal
What repayment strategy focuses on paying off debts with the highest interest rates first to save the most money?
Debt Avalanche Method
What is the window of time (usually 21–25 days) where you can pay your balance in full without incurring interest charges?
Grace Period
What credit card habit results in paying high total compounding interest and extending loan repayment over many years?
Paying Only the Minimum Balance
What independent federal agency protects customer deposits in insured banks up to $250,000 per account type?
FDIC (Federal Deposit Insurance Corporation)
What home loan structure maintains the exact same interest rate and principal-and-interest payment for the full term (e.g., 30 years)?
Fixed-Rate Mortgage
What strategy combines multiple high-interest debts into a single loan with one monthly payment and lower interest?
Debt Consolidation
What is the reporting window required by federal law to limit consumer loss to $50 for unauthorized debit transactions?
2 Business Days
What is the charge (typically 3%–5%) applied when moving high-interest debt from one credit card to another with a lower APR?
Balance Transfer Fee
What savings product locks away a deposit for a set term length in exchange for a guaranteed, higher fixed interest rate?
Certificate of Deposit (CD)
What insurance protects the lender if a buyer puts down less than 20% on a conventional home loan?
PMI (Private Mortgage Insurance)
What metric is calculated by dividing total recurring monthly debt obligations by gross monthly income?
Debt-to-Income (DTI) Ratio