Investing
Deposits are made post-tax and grow in the account tax-free
What is a Roth IRA?
Share of ownership in many companies
What are stocks?
Issued by stores, banks and businesses and used to purchase good and services
What are plastic cards?
Set amount paid by the insured to have an insurance policy
What is a premium?
Tax paid straight to the government
What is direct taxes?
Deposits are made pre-tax, which means that no tax is paid on the money until it is withdrawn from the account
What is a traditional IRA?
Profit payouts on shares of stock
What are dividends?
Fixed monthly payments and used to finance cars, appliances, mortgages and student loans
What is installment credit?
A request filed by the insured in the event of a loss
What is a claim?
Tax collected when a person pays for a good or service
What is indirect tax?
Many funds collected from many investors
What is a mutual fund?
Provides no voting rights and fixed dividends
What is Preferred Stock?
Prepaid card that requires putting a security deposit on it and that will be your limit
What is Secured Credit?
Pays for vehicle or property like a fence, garage, which you are at fault or liable, also covers legal fees
What is property damage liability?
The tax rate is the same for all income levels
What is a flat tax?
Betting on the future price of a common product
What are Futures?
Provides voting privileges and offers dividends
What is common stock?
Does not have to be backed by a deposit and your credit limit is based on your credit history and financial strength
What is unsecured credit?
Pays for losses to your car in a non-collision situation
What is comprehensive?
As your income increases the percentage of taxes paid to the government also increases
Saving account for specified time period
What is a CD?
A stock market index tracking the stock performance of 500 of the largest companies listed on stock exchanges in the United States.
What is the S&P 500?
Lenders use this to determine whether to grant a loan and what interest rate
What is a credit score?
Government sponsored healthcare program for seniors over 65 or disabled people
What is medicare?
Portion of income that goes toward taxes decreases as your earn more income
What is a regressive tax system?