What is the first foundation?
Save a $500 emergency fund
Credit report:
A detailed report of an individual's credit history.
Define budgeting:
A written cash flow plan.
What is a sinking fund?
Saving money over time for a large purchase.
FAFSA:
A form that is completed annually by current and prospective college students to determine their eligibility for financial aid.
What is the second foundation?
Get out of debt.
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.
What is reconcile?
The act of matching your bank statement with your checkbook.
What is an Interest Rate?
A rate which is either charged (on debt) or paid (on investment accounts) for the use of money.
Grant:
A form of federal or state financial aid that does not need to be repaid.
What is the third foundation?
Pay cash for your car.
Depreciation:
A decrease or loss in value.
What is an Impulse Purchase?
An item that is brought without previous planning or consideration pf the long-term effects.
Define Compound Interest:
Interest paid on interest previously earned.
Work-Study:
A program that allows students to work part-time while continuing their studies
What is the fourth foundation?
Pay cash for college.
Annual Fee:
A yearly fee that's charged by the credit card company for the convenience of the credit card.
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.
Define Interest-bearing Account:
An account that generates interest income on the available balance in the account.
Associates Degree:
An undergraduate academic degree awarded by colleges upon completion of a course of study lasting two years.
What is the fifth foundation?
Build wealth and give.
Credit Card:
Type of card issued by a bank that allows users to finance a purchase.
What is a carbon check?
A copy of each check you write.
Define Inflation:
The persistent increase in the cost of goods and services or the persistent decline in the purchasing power of money.
Trade School:
A type of higher learning school that focuses on job skill training for specific career fields rather than academics in liberal arts.