Money Matters
This type of money is issued by a government and is considered legal tender for transactions.
What is currency?
A type of account that helps your money grow by earning interest over time.
What is a savings account?
This type of bank account is designed for everyday transactions and allows you to deposit, withdraw, and write checks.
What is a checking account?
This type of money gets its value from the confidence and trust in the government, rather than being backed by a physical commodity like gold.
What is fiat money?
If you want to ensure you have three to six months of expenses saved for emergencies, you would be building this type of account.
What is an emergency fund?
This nonprofit institution allows members to pool their money for lending and saving.
What is a credit union?
A process where the government takes a portion of your income, usually to fund services like defense, education, and infrastructure.
What is taxation?
These investment tools let you save for retirement and can give you tax benefits, such as 401(k)s and IRAs.
What are retirement accounts?
These types of loans require collateral, such as a car or house, in case the borrower cannot repay.
What are secured loans?
This U.S. government body is responsible for minting coins and printing paper currency.
What is the U.S. Department of the Treasury?
This is the term for unexpected gains, like winning the lottery or receiving an inheritance.
What is windfall income?
This digital method of payment lets you transfer funds instantly without using paper checks or physical cash.
What is electronic funds transfer (EFT)?
When you make money from working a job or running a business, this is called this type of income.
What is earned income?
The difference between the total amount earned and the total deductions taken out of your paycheck is called this.
What is net pay?
This federal agency insures deposits at banks, protecting up to $250,000 per account.
What is the Federal Deposit Insurance Corporation (FDIC)?