BANKING
This type of account is connected to your debit card
Checking account
This stock market index represents 500 of the largest companies listed on stock exchanges in the United States
S&P500
The amount borrowed by someone for a loan
Principal
A record of how you've managed loans and payments over time
Credit report
Money you borrow for college and need to repay
Student loans
This type of car insurance covers you if you cause injuries or property damage for someone else
Liability coverage
Form used by most U.S. taxpayers to file an annual income tax return
1040
The 50/30/20 rule divides your budget to spend: 50% on _______, 30% on wants, and 20% on savings
Needs
A monthly fee that some banks charge to keep your account open
Maintenance fee
This strategy involves spreading investments across different assets to reduce risk
Diversification
An initial payment made when buying something expensive, such as a car or house
Down payment
Something valuable that the lender can take as payment if you can't or don't repay your secured loan
Collateral
For a Direct Subsidized Loan, the government pays this as long as you stay in school at least half-time
Interest
If you want a lower deductible and higher coverage limit, you will pay a higher monthly _______.
Premium
Employees receive this form each January that summarizes their earnings and taxes for the previous year
W-2
An expression used to describe a person or household whose monthly income is devoted to expenses and has little to no savings
Paycheck to Paycheck
Interest earned on both the principal amount and any interest already earned
Compound Interest
This investment vehicle is a loan to the government which is paid back over time with interest
Government Bond
The lowest amount you can pay on your monthly credit card bill to remain in good standing
Minimum payment
This strategy for debt repayment starts with the highest interest-rate debts
Avalanche or High-rate method
Sticker price - gift/aid from the institution =
Net price
Insurance companies use this strategy to afford large payouts by collecting premiums from a large group
Risk Pools
Fill out this form when you start a new job to determine how much your employer withholds in taxes
W-4
If your expenses are higher than your income, you have a budget ________.
Deficit
This federal insurance program protects the money you deposit in member banks up to $250,000 per depositor, per bank
FDIC
The rate of increase in prices over a given period of time, your rate of return should be greater than this
Inflation
Describes the status of being behind on one or more loan payments
Delinquency
The paying off of debt with a fixed repayment schedule in regular installments over a period of time
Amortization
The form submitted by students to determine their eligibility for financial aid
FAFSA
Health insurance that provides protection against the high cost of treating severe or lengthy illness or disabilities and usually has a high deductible and lower premiums
Catastrophic Health Insurance
This date is the typical deadline for Americans to file their taxes
April 15
Your total earnings BEFORE taxes or deductions are taken out
Gross pay