Financial literacy
What is financial literacy?
Haing the understanding of your finances and making sound financial decesions.
.
The best way to spend your money is to use the
___/____/____ method.
The 50/30/20 method
This financial institution shares profits with its members in the form of cheaper interest rates.
Credit Unions
Credit card companies set up minimum payment plans in order to ____________________.
If you write a check for more money than you have it is called an
Overdraft
Why is fianancial literacy important?
Knowing how to spend your money wisely keeps you out of debt.
What are some ways to cut down on your budget?
Buy store brand products
shop at less expensive stores
purchase at thrift stores
This financial institution is a business that is owned its shareholders.
Bank
True or False
It is better to pay your card balance off as soon as possible.
True
True or False
If you overdraft you do not have to pay any fees.
False
what are wants?
Wants are things that we really don't need but would like.
How can you save when purchasing a car?
Purchase a used car, a smaller car, or a car you can afford.
This institution has accounts and cards for students.
Banks and Credit Unions
Irrespinsible spending on credit cards can lead to
debt
Some financial institutions charge you fees for
Using other ATMs
Overdrafts
Not keeping enouch money in your account
What are needs?
Needs are items we must have food, clothes, shelter, water, etc.
What is a budget?
A budget is a weekly, monthly, or yearly plan for your money.
M oney charged each month
Interest
When shopping for a credit card it is important to look for the following
APR-interest rate
fees
rewards
True or False
My checking account reflects on my credit score
False
Video games, tv, streaming are all examples of ____?
Wants
What can you do with leftover money from your budget?
Put it into savings or invest it.
These institutions tend to have higher interest rates.
Banks
Credit scores are dependent on
paying your bills on time
amount of money you owe
length of credit history
Utilizing ____________ ___________ is the way most people have their paycheck placed in their account.
Direct deposit