Budgeting
A plan for making and spending money
Budget
An item that we desire but that is not essential to survival
Want
Credit with no set payoff date
Open-end Credit
Equifax, TransUnion, Experian
Credit Bureaus / Agencies
Refers to a financial market that experiences an extended period of growth
Bull Market
A savings account you can access quickly to pay for unexpected expenses or emergencies, usually equal to 3-6 months of your salary
Emergency Fund
The basic problem of economics that results from a combination of limited resources and unlimited wants
Scarcity
Used to make payments and money is taken from a bank account.
Debit Card
Length of time a bankruptcy will stay on a credit report
10 years
A tax form that enables the employer to determine the amount of taxes to be withheld for the employee.
W-4
Expenses which stay basically the same from month to month, such as housing and transportation.
Fixed Expense
Using someone else's money, promising to repay at a future date, and paying a fee for use of the money.
Credit
A loan that is secured by collateral, properties or assets that are subject to seizure on default.
Collateralize / Secured Loan
The factor that would most likely lead to an increase the interest rate on a person's credit card
Late Payments
In addition to monthly mortgage payments, each year a homeowner can expect to pay...
Property Taxes
An expense that changes from month to month.
Variable Expense
The amount of a paycheck after the deductions are taken out
Net Pay
Act that allows lenders to deny you based on your credit history.
Equal Credit Opportunity Act (ECOA)
A record of financial information including income, loans, credit card accounts, and payment history.
Credit Report
Insures your bank deposits up to $250,000
FDIC
What you give up when you make one choice over another
Opportunity Cost
Tax structure when the tax rate increases as the amount of taxable income increases.
Progressive Tax
Withdrawing cash using your credit card at a higher interest rate.
Cash Advance
The elderly and people with a poor credit history are targets.
Predatory Lending
Federal Tax Collectors
IRS