Banking
What is the primary purpose of a credit card?
Building credit history
What is the difference between simple and compound interest?
Compound interest includes interest on interest
What is the purpose of credit utilization in credit scoring?
Tracking credit card balance to limit ratio
What is net worth?
Total assets minus liabilities
What is a W-2 form used for?
Reporting income and taxes withheld
What is a credit report used for?
Applying for a loan
What is the purpose of a checking account?
Managing day-to-day expenses
What is a common factor to consider when buying a car?
Gas mileage
What is bankruptcy?
A legal process for overwhelming debt
What is the purpose of Tax Form 1040EZ?
Filing simple taxes
What is the purpose of taking out a loan?
Making large purchases
When should you reconcile your bank account statement with your register?
Monthly
How is the price of a car typically negotiated?
Through trade-in value discussions
What is a mutual fund?
Pooled investments managed by professionals
What is the primary goal of retirement planning?
Building savings for the future
How does a savings account differ from a checking account?
Savings accounts earn interest
What is the minimum credit score typically required for loan approval?
750
What factors contribute to the cost of auto insurance premiums?
Driving record and age
What are stocks?
Ownership shares in a company
How does a money market account differ from a savings account?
Higher interest rates than a savings account
What is the primary benefit of using an ATM or debit card?
Access to cash
What fees are associated with using an ATM from a different bank?
ATM withdrawal fees
How can individuals reduce gas costs when owning a vehicle?
Regular vehicle maintenance
What are bonds?
Loans to governments or corporations
What is a common feature of certificates of deposit (CDs)?
Fixed interest rates