?
Question: What is the main purpose of creating a budget?
Answer: What is to manage your money effectively?
Question: These items are essential for survival, such as food and shelter.
Answer: What are needs?
Question: What is the term for setting aside money for future use?
Answer: What is saving?
Question: This account is primarily used for daily expenses and transactions.
Answer: What is a checking account?
Question: This ongoing process involves lifelong learning about managing money.
Answer: What is financial literacy?
This account type typically offers higher interest rates and encourages saving.
Answer: What is a savings account?
Question: Name one of the five factors that affect credit scores.
Answer: What is payment history? (Other acceptable answers: credit utilization, length of credit history, types of credit accounts, recent credit inquiries)
Question: What does APR stand for?
Answer: What is Annual Percentage Rate?
Question: What should you create to ensure timely loan payments?
Answer: What is a budget?
Question: Higher credit scores typically result in what?
Answer: What are lower interest rates?
Question: True or False: A budget is only necessary for people who are struggling financially.
Answer: What is False?
Regular charges for account services that can be avoided by maintaining a minimum balance.
Answer: What are monthly maintenance fees?
Question: What should you always do before signing any loan agreement?
Answer: What is read and understand the fine print?
Question: What is the key difference between needs and wants?
Answer: What is needs are essential for survival; wants are optional?
This online feature allows you to manage your account from anywhere using a smartphone or computer.
Answer: What is online and mobile banking?
Question: What is one sign that a loan offer may be too good to be true?
Answer: What are promises that seem unrealistic?
The maximum amount insured by the FDIC per depositor, per bank.
Answer: What is $250,000?
Question: What is a red flag to watch out for in loan agreements?
Answer: What are extremely high interest rates? (Other acceptable answers: pressure to make quick decisions, hidden fees, promises that seem too good to be true)
This term describes the interest that is earned on both the initial principal and the interest that has already been added to the account.
Answer: What is compound interest?
Question: This type of fund is crucial for unexpected expenses.
Answer: What is an emergency fund?
This is a recommended practice to avoid incurring bank fees.
Answer: What is maintaining required minimum balances?
This type of bank may offer better rates due to lower overhead costs.
Answer: What are online-only banks?
This feature helps you track your spending and avoid overdrafts.
Answer: What are low balance alerts?
Question: Name one alternative to predatory loans.
Answer: What is a credit union? (Other acceptable answers: community bank, peer-to-peer lending platform, government assistance programs)
Question: What is a strategy to manage multiple debts?
Answer: What is loan consolidation?