Credit
Also your “financial trustworthiness,” this numerical value represents an individual’s creditworthiness.
What is a credit score?
This is what we were almost given recently by the president, or the concept of canceling all or part of a borrower’s student loan debt.
What is loan forgiveness?
Half of budgeting, this is the term for the money that you earn.
What is income?
This is how to gauge what types of investments you should be making; ____ vs. reward.
What is risk?
Name one part of the acronym SMART as in SMART Goals.
What is Specific / Measurable / Attainable / Relevant / Time-based?
One factor that can impact your credit score.
What is length of credit history / amounts owed / payment history / new credit / types of credit?
This is what causes loans to become more expensive over time.
What is (compound) interest?
This is known as the go-to basic budgeting breakdown.
What is the 50/30/20 rule?
I become a percent owner of a company after purchasing one of these.
What is a stock?
This is the biggest difference between checking and savings accounts.
What is interest?
The term for the maximum amount of credit a lender is willing to extend to a borrower.
What is a credit limit?
This type of federal loan requires no interest payments while you are in school.
What is an unsubsidized loan?
The name for a type of expense that is not necessarily the same amount every month.
What is a variable expense / variable?
“Don’t put all your eggs in one basket” refers to this method of spreading your investments across different assets to reduce risk.
What is diversification?
This is the total amount of money that you earn before deductions are applied.
What is gross income?
These “firm examinations” are conducted on your credit account when applying for any line of credit.
What is a hard inquiry / hard check?
The organization that federal loans originate from in the United States. They also pay off the interest on subsidized loans.
What is the Department of Education?
Similar to gross profit being sale price minus expenses, this is what your personal income minus expenses is equal to.
What is cash flow?
This is the difference between Traditional and Roth investment accounts (401k or IRAs).
What is tax / when is tax applied?
This is how long an emergency fund should last you if you lose income.
What is 3 to 6 months?
One of the three major credit bureaus that offer free credit reports.
What is Equifax / Experian / Transunion?
This is how long after graduation you have until you are required to make principal payments on a federal student loan.
What is 6 months?
This is the amount of money, in a percentage of your gross income, that the US Dept. of Housing recommends your housing bill should not exceed per month.
What is 30%?
This “joint reserve” is a type of investment fund that pools money from many investors to purchase securities managed by a professional.
What is a mutual fund?
This is the term for income received residually from investment dividends or savings interest.
What is passive income?