banking
What is a checking account?
This type of bank account is used for everyday spending and comes with a debit card.
What is a budget?
This is a plan for how to spend and save your money.
what is a credit score?
This three-digit number helps lenders decide how likely you are to repay a loan.
What is health insurance?
This type of insurance helps pay medical bills if you get sick or injured.
What is a stock?
most common investment representing ownership in a company.
What is the FDIC?
A government agency that insures deposits up to $250,000 per account holder per bank.
What is savings and debt repayment?
The “50/30/20 rule” suggests putting 50% of your income toward needs, 30% toward wants, and 20% toward this.
What is a credit card?
This type of card allows you to borrow money up to a limit and pay it back later.
What is liability coverage?
In auto insurance, this type of coverage pays for damage to other people’s property or injuries
What is an IRA (Individual Retirement Account) or 401(k)?
This type of account offers tax advantages for retirement savings.
What is an overdraft fee?
the fee banks may charge when an account is overdrawn.
What is disposable income?
This term refers to the amount of money left over after all expenses are paid.
What is interest?
Paying only the minimum on your credit card results in this kind of fee added over time.
What is a deductible?
This is the amount you pay out of pocket before insurance begins to cover costs.
What is diversification?
This term describes spreading out investments to reduce risk.
What is ACH?
System that allows you to transfer money directly between bank accounts.
What is rent or a car payment?
Fixed expenses stay the same each month. Name an example of a fixed expense.
What is credit utilization?
One major factor affecting your credit score is this, the percentage of credit you’re using compared to your limit.
What is term life insurance?
Life insurance that only lasts for a set period (like 10 or 20 years) is called this.
What is an index fund?
A collection of investments managed as one unit, often passively tracking an index, is called this.
What is mobile check deposit?
banking service that allows costumers to deposit checks using a mobile app.
What is zero-based budgeting?
This budgeting method gives every dollar a job and requires planning ahead for all expenses.
What is a credit report?
This detailed report shows your credit history, including loans, payment history, and credit inquiries
What is disability insurance?
This insurance protects you financially if you’re unable to work due to injury or illness.
What is liquidity?
This term refers to how easily an asset can be converted into cash without affecting its price.