Banking Basic
This bank account is designed for frequent purchases and debt card use
What is a checking account
A plan for managing income and expenses
What is budget
This allows you to buy now and pay later
You can invest your money in what forms to earn a return
What is bonds or stocks
Who is the current Fed Chair
What is Jerome Powell
This account earns interest but usually limits withdrawals
What is a savings account
Rent and insurance payments fall into this expense category
What are fixed expenses
The minimum amount you can borrow on a credit card
What is a credit limit?
A fund meant for unexpected expenses like car repairs
When prices rise slowly over time, people need more money to buy the same goods. This reduces the “buying power” of money.
What is inflation
This banking number should never be shared publicly because it allows direct access to your account
The first step in creating a budget is to figure out
What is your income
If you spend a little extra on dining out and entertainment each week, and don’t track it, your overall budget can slowly get off track. This common budgeting problem describes that.
What is overspending
This investing strategy spreads money across different assets to reduce risk
What is diversification
This measures the total value of all goods and services produced in a country over a year and is often used to compare how rich or poor countries are.
What is GDP
This feature allows banks to process transactions, even when funds are temporarily unavailable
What is overdraft protection
Explain 50/30/20 rule
What is needs, wants, savings
This action lowers your total interest paid over time on a credit card
What is paying more than the minimum
This concept explains that a $100 today is worth more than $100 in the future
What is time value of money
The cost to make a penny is about __ cents
What is 3.7 cents
If you write a check for $80 with only $60 in your account, what will happen?
What is an overdraft or bounced check
After paying bills and saving, you notice you have very little left for fun spending. A smart budgeting decision would be this.
What is adjusting your expenses, priorities, or goals to balance your money?
This three-digit number, often called a FICO score, shows how likely you are to repay borrowed money on time.
If you were to invest your money into the S&P, how much return can you expect yearly
What is 12-15%
What is the 10yr interest rate?
What is 4.15-4.20% (subject to change)