Budgeting
This is the total amount of money you earn on your paycheck before taxes or deductions are taken out.
What is gross pay?
When a company makes a profit, it may share some of the money with its members or shareholders in this form.
What are dividends?
This is the smallest amount you can pay on your credit card each month to keep the account in good standing.
What is the minimum payment?
This card is linked directly to your account and can be used to buy things or take out cash.
What is a debit card?
This three-digit number, usually between 300-850, shows how likely you are to pay back money you borrow.
What is a credit score?
This type of expense stays the same every month, like rent or car payment.
What is a fixed expense?
When you buy this type of investment from a company, you are lending them money they must pay back with interest.
What is a bond?
This is a loan used to buy a house.
What is a mortgage?
This is when your paycheck goes straight into your account electronically instead of being a paper check.
What is direct deposit?
This happens when a lender checks your credit report, and it may temporarily lower your score.
What is a hard inquiry?
These are things that are nice to have, but you don't need them to live (like video games or fast food).
What are wants?
This is when you spread your money across different things like stocks, bonds, and funds to lower your risk.
What is diversification?
This type of loan has an interest rate that can go up or down over time.
What is a variable rate loan?
This paper or digital record show all the money going in and out of your account each month.
What is a statement?
Experian is one of these three companies that collect and share your credit information.
What is a credit bureau?
A budget where you give every dollar a job so nothing is left unplanned is called this.
What is a zero-based budget?
This is interest that builds on both your original money and the interest it has already earned.
What is compound interest?
This is when you pay back a loan a little at a time through regular monthly payments.
What is paying in installments(or amortization)?
At credit unions, members may earn these from profits instead of interest like at a bank.
What are dividends?
This is the most important part of your credit score and shows whether you pay your bills on time.
What is payment history?
If you spend more money than you make, you end up with this.
What is a deficit?
This is a retirement savings account offered by many jobs where money is taken out of your paycheck before taxes.
What is a 401(k) plan?
This is the original amount of money you borrow from a lender.
What is the principal?
This government agency protects your money in a credit union up to $250,000 if the credit union fails.
What is the NCUA (National Credit Union Administration)?
Besides paying bills on time, this is another smart habit that can help you build good credit as a teen.
What is keeping balances low (or only using a small amount of credit)?