Five Foundations
Debt
Budgeting
Saving
Life After High School
100

What is the first foundation?

Save a $500 emergency fund

100

Credit report:

A detailed report of an individual's credit history.

100

Define budgeting:

A written cash flow plan.

100

What is a sinking fund?

Saving money over time for a large purchase.

100

FAFSA:

A form that is completed annually by current and prospective college students to determine their eligibility for financial aid.

200

What is the second foundation?

Get out of debt.

200

Loan Term:

The time frame that a loan agreement is in force, and before or at the end of which a loan should either be repaid or renegotiated for another term.

200

What is reconcile?

The act of matching your bank statement with your checkbook.

200

What is an Interest Rate?

A rate which is either charged (on debt) or paid (on investment accounts) for the use of money.

200

Grant:

A form of federal or state financial aid that does not need to be repaid.

300

What is the third foundation?

Pay cash for your car.

300

Depreciation:

A decrease or loss in value.

300

What is an Impulse Purchase?

An item that is brought without previous planning or consideration pf the long-term effects.

300

Define Compound Interest:

Interest paid on interest previously earned.

300

Work-Study:

A program that allows students to work part-time while continuing their studies

400

What is the fourth foundation?

Pay cash for college.

400

Annual Fee:

A yearly fee that's charged by the credit card company for the convenience of the credit card.

400

Zero-Based Budget:

A cash flow plan that assigns an expense to every dollar of your income, wherein the total income minus the total expenses equals zero.

400

Define Interest-bearing Account:

An account that generates interest income on the available balance in the account.

400

Associates Degree:

An undergraduate academic degree awarded by colleges upon completion of a course of study lasting two years.

500

What is the fifth foundation?

Build wealth and give.

500

Credit Card:

Type of card issued by a bank that allows users to finance a purchase.

500

What is a carbon check?

A copy of each check you write.

500

Define Inflation:

The persistent increase in the cost of goods and services or the persistent decline in the purchasing power of money.

500

Trade School:

A type of higher learning school that focuses on job skill training for specific career fields rather than academics in liberal arts.