Budgeting
A list of planned expenses and income
What is a budget
Money that is owed
Loan for buying a house. It's an agreement between you and a lender that gives the lender the right to take your property if you don't pay back the borrowed money, plus interest
What is a mortgage
Best time to start investing
A share in the ownership of a company
What is a stock
Best place to keep you emergency fund
What is your savings account
A way to buy now and pay later
What is credit
Payment made to support a student's education, awarded on the basis of academic or other achievement.
Which has more risk, stocks or certificates of deposit?
What are stocks
Account for buying and selling a stock
What is a brokerage account
A bank account for everyday use
What is a Checking Account
Money that the bank pays you for keeping your money in a bank account or the amount you owe on the money that you borrow
What is interest
The process of paying off a loan through scheduled payments over time. It’s basically a calendar of how payments are made.
What is amortization
Group of stocks that represent the overall performance of a segment of the market
What is an index
Place where stocks are bought and sold
What is the stock exchange
What is the most likely reason that a budget will fail?
What is no emergency fund
The summary that represents how you handle your debt
What is a Credit Score
Name 2 ways to pay for college
What is
1) Scholarships
2) Grants
3) Student Loans
4) Work-study Programs
5) Savings
As the value of a stock increases, the company will share the profit with you by paying you cash or giving you more stocks.
What are dividends
Strategy that involves spreading out investments across different assets to reduce risk and volatility
What is diversification
A method where you allocate every dollar of your income to specific expenses, savings, and debt repayment, so that the total income minus the total expenses equals zero
What is Zero Based Budgeting
Retirement account where you contribute money that is already taxed
What is a Roth IRA
The yearly cost of borrowing money, including fees and interest
What is APR
Retirement savings plan that allows employees to contribute a portion of their paycheck to an individual account, and the employer usually matches your contribution by a certain %
What is a 401k
A debt instrument that is used by the government or large companies to borrow funds from investors for a specific duration. In return, the issuer pays periodic interest to the investor.
What is a bond