Financial Literacy 1
A DEPOSITORY institution is licensed to receive deposits and make loans.
What is a BANK?
The knowledge and application of various financial skills.
What is financial literacy?
What is a FINANCIAL GOAL?
The money you receive from your job
What is income?
A percentage of the amount you borrowed, increasing the total amount you have to pay back in the end.
What is interest rate?
A thing that is borrowed, especially a sum of money that is expected to be paid back in interest.
The money charged for the privilege of borrowing money.
What is interest?
an automatic loan made to an account if the balance will not cover checks written.
written orders to a bank to pay a certain amount of money from a checking account to another person or business
What is a CHECK?
A report of deposits, withdrawals, and bank balances sent to a depositor by a bank
What is BANK STATEMENT?
A bank card that automatically deducts the amount of a purchase from your checking account.
What is a debit card?
A specific type of loan that is used to buy real estate (a home or other property).
What is a Mortgage?
EVERYTHING an individual or household owns with monetary value
What is an ASSET?
The money you earn at your job before the tax man gets to it.
What is gross income?
A plan for earning and spending over a period of time.
What is a budget?
a card issued to consumers that is used to make purchases, with the agreement that the cardholder will ultimately pay back the card issuer for the cost of the items purchased, along with any agreed upon fees and interest
What is a credit card?
Money owed from one person to another person/an institution
What is a debt?
a computerized cash payments system that transfers funds without the use of checks, currency, or other paper documents.
What are ELECTRONIC FUNDS?
The money you earn from your job after the tax man gets to it.
What is net income?
A type of bank account that allows you to easily deposit and write orders to withdraw money for daily transactions.
What is a Checking Account?
The initial amount of money invested or borrowed.
What is the PRINCIPAL?
The maximum amount of credit a financial institution extends to a client on a credit card.
What is credit limit?
An automatic deposit of a paycheck without having to take a physical check to the bank.
What is a DIRECT DEPOSIT?
A portion of current income not spent on consumption.
What is SAVINGS?
How quickly and easily assets can be accessed and converted into cash.
What is LIQUIDITY?