Banking Basics
This is a not-for-profit financial institution.
What is a credit union?
A reason why it is difficult for young people to get a loan or credit card.
What is no Credit History?
Equifax, Experian, and Transunion.
What are credit reporting agencies?
Movies, hobbies, travel, designer brands...
What is a want?
A cash reserve that you set aside equaling to 3-6 months of your income.
What is Emergency Savings?
Driver's license, social security card, money...
What you need to open an account?
A snapshot of your financial habits that tells lenders that you are trustworthy.
What is a credit score?
A type of loan with a limit that you can use at businesses around the world.
What is a credit card?
Earn, Save, Spend
What is a Spending Cycle?
Create a budget
Pay yourself first
Save your raises
What is a strategy for saving money?
A fee charged to a person for spending money when there are no funds on their checking account
What is an overdraft fee?
A type of credit line where funds is borrowed, paid back, then the limit is restored.
What is revolving credit?
Type of loan with the highest interest rate.
What is a payday loan?
What is Housing Expense?
It is when you decide to stop working because you have reached a certain age, saved enough money in your lifetime, or because you became ill.
What is Retirement?
High yield accounts that pay interest based on the current market rates.
What is a money market account?
A weight of credit where lenders look at your longest reference.
What is Length of History
Credit card or loan that needs minimum required collateral to open.
What are secured products?
What is a Spending Plan?
FDIC and NCUA insures up to a certain amount of a person's combine accounts.
What is $250,000?
When a financial institution only let you have six withdrawals/transfers per month on your savings account.
What is Regulation D?
Capacity, Character, Capital, Collateral, and Conditions
What are the 5 C's of Credit?
Typically, during the first few years of paying your mortgage, most of your payment goes toward_______ and not very much goes toward paying down the_________
What is principal and interest?
Calculating your income and expenses based on short- and long-term goals with percentages for needs/wants/debt/savings.
What is the 50/30/20 Rule?
Asking your employer to take a small amount out of your paycheck and put it in savings.
What is an allocation or deductions?