Paychecks
What is a paycheck?
Money you earn from working
What is a bill?
A notice that you owe money
What is interest?
Money earned or paid for using money
What is a credit card?
A way to borrow money to pay for things
What is a credit score?
A number that shows how trustworthy you are with money
What is gross pay?
Total money earned before deductions
Name one way to pay a bill?
Online, check, debit/credit card, automatic payment
Which is better when saving: high or low interest?
High interest
What must you pay back when using a credit card?
The money borrowed + interest + fees
Does paying bills on time raise or lower your credit score?
Raises it
What is net pay?
Money you take home after deductions
What happens if you don't pay a bill on time?
Late fees, services shut off, credit score drops
Which is better when borrowing: high or low interest
Low interest
What is a minimum payment?
The smallest amount you must pay each month
Name one thing that can lower your credit score
Missing payments, too much debt, too many cards
Name one type of deduction?
Taxes, insurance, social security, child support, etc.
A written form to pay money from a bank account?
What is a way you can have more money when you save?
You can earn higher interest on your savings?
Why is paying only the minimum dangerous?
It takes longer and costs more due to interest
What is identity theft?
When someone steals your personal information
If your gross pay is $800 and your net pay is $650, how much was taken out?
$150
What happens if you write a check without enough money?
It bounces, you get fees, credit score may drop
What is compound interest?
Interest that builds on both the original money and previously earned interest.
If you take a long time to pay off a credit card, what happens to the total amount you pay?
It increases over time because of the interest you have to pay
Name one way to protect your identity?
Don't share personal info, shred documents, strong passwords for your accounts?