Banking Basics
This is the amount of money in your bank account.
Answer: What is a balance?
This card is directly connected to your checking account.
Answer: What is a debit card?
Money saved for unexpected expenses is called this.
Answer: What is an emergency fund?
Buying something without planning ahead is called this.
Answer: What is impulse buying?
This three-digit number measures your creditworthiness.
Answer: What is a credit score?
This machine allows you to withdraw or deposit money electronically.
Answer: What is an ATM?
This is the maximum amount you can borrow on a credit card.
Answer: What is a credit limit?
Interest earned on both the original amount and previous interest is called this.
Answer: What is compound interest?
Rising prices over time are called this.
Answer: What is inflation?
This percentage compares your debt to your available credit.
Answer: What is credit utilization rate?
This government agency insures bank deposits up to $250,000.
Answer: What is the FDIC?
Something valuable used to secure a loan is called this. Answer: What is collateral?
Answer: What is collateral?
This rule estimates how long it takes money to double.
Answer: What is the Rule of 72?
A notification warning your account is below a certain amount is called this.
Answer: What is a low balance alert?
Missing loan payments for a long time is called this.
Answer: What is default?
This document shows all transactions related to your account each month.
Answer: What is a bank statement?
The yearly cost of borrowing money expressed as a percentage is this.
Answer: What is APR?
The original amount borrowed or invested is called this.
Answer: What is principal?
A fee charged when you spend more money than is in your account is called this.
Answer: What is an overdraft fee?
This type of inquiry can lower your credit score temporarily.
Answer: What is a hard inquiry?
Comparing your records with your bank statement each month is called this.
Answer: What is reconcile?
A person who agrees to repay a loan if the borrower cannot, is called this.
Answer: What is a cosigner?
A retirement account that uses after-tax income is called this.
Answer: What is a Roth IRA?
Living paycheck to paycheck means using most income for this.
Answer: What are monthly expenses?
This law helps ensure fairness and accuracy in credit reports.
Answer: What is the Fair Credit Reporting Act?