L & M
Define Late Fee
What is Charge levied against a client for not paying a bill by its due date
Define Grace Period
What is Amount of time a creditor allows before charging extra fees
Define Overdraft
What is Writing a check for more than is in a checking account; the bank will charge a fee if this occurs
Define Emergency Fund
What is money set aside specifically for an emergency such as a major accident, or loss of a job; usually recommended at least 3 months' salary
Define Tax
What is a government fee on business and individual income, activities, or products
Define Loan
What is Something that is lent; allowed to be issued for a period of time; if the loan is money, it is often repaid with intrest
Define IRA
What is (Individual retirement account) - an investment with specific tax advantages that defers taxes on earnings until withdrawn
Define Retirement Plan
What is a plan provided by an employer or a self-employed individual for retirement
Define Estate
What is the assets and debts that a person leaves at death
Define Debt
What is something owed; usually measured in dollars
Define Minimum Payment
What is Smallest amount a consumer is required to pay on a revolving charged account in order to keep the account in good standing
Define Inflation
What is A general increase in the price of goods over time
Define Savings Account
What is a financial institution deposit account that pays interest and allows withdrawals
Define Financial Charge
What is total dollar amount paid for credit
Define Deposit
What is a sum of money put into a bank account
Define Mortgage
What is A long-term loan to by real estate land and the structures on it
Define Intrest
What is Money you are paid for lending money or the amount of money that is added to the money you borrow
Define Social Security
What is FICA (Federal Insurance Contributions Act), federal government program that provides retirement, survivor's, and disability benefits; funded by an income tax
Define Direct Deposit
What is the automatic transfer of salaries, wages, rents, benefits, and other sums, directly into the account of an employee or beneficiary
Define Mutual Funds
What is An investment tool that pools money of many shareholders and invests it in a diverse portfolio of securities such as stocks, bonds, and money market assets
Define Investment
What is Putting money into assets (like stocks, bonds, mutual funds, etc.) to help you reach your financial goals
Define Stock
What is an investment in a share of a company that is sold to the public
Define Diversification
What is spreading money across many different types of investments