Unit 1
Higher interest Bad
Bad history with credit
long term financial goals
What is a financial plan?
what should you always pay in cash
Car and college
A person or organization that uses a product or service?
What is a consumer?
Money owed to another person or company
What is debt?
Without any debt you should
Save, invest, and be generous
Ampount of money you are worth after you pay off all debts (assets +)(liability-)
What is net worth?
The creator of the five foundations
Who is Dave Ramsey
The granting of a loan and the creation of debt; any form of deferred payment
What is Credit?
anything owned by an individual , including money in the bank or investments
What is Assets?
80% behavior and 20% head knowledge
What is Personal finance?
What is 3 types of goals?
Tto make progress , it is important to
Save up your money
An expression used to describe a person or household whose monthly income is devoted to expenses and has little to no savings
What is Paycheck to Paycheck?
the additional cost a lender charges for borrowing money
What is interest?
Not having debt can lead to..
What is financial freedom?
Net worth, save excess funds , goals you want to set, and how you’ll reach those goals
What is 4 thing to know about financial plan
personal financial plan developed and geared towards high school students.
What is five foundations?
The amount by which the value of a person's assets exceeds or falls behind the value of their liabilities
What is Net Worth?
dollar value of a person s assets is greater than the dollar value of their liabilities
Positive net worth
What are the 2 life principles to be debt free?
Always have a budget, and live on less than what you make
Specific, measurable, time sensitive, yours, and written
What is maintain your goals
List five foundations
save $500 for emergency funds, Get and stay out of debt, Pay cash for car, Pay cash for college, Build wealth and be generous.
All the financial decisions an individual or family must make in order to earn, budget, save, spend, and give money over time
What is personal finance?
the knowledge and skill based necessary for people to be informed consumers and manage their finances effectively
What is financial literacy?