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Familiarize yourself with Novice-level financial literacy terminology! Can you complete the whole set?

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Familiarize yourself with Novice-level financial literacy terminology! Can you complete the whole set?

by WM
1

Cash flow is the money you need to start a business or investment

2

A budget is a plan to track how much money you earn and spend

3

A consumer buys goods and services

4

You may have to pay an overdraft fee if you spend more money than you have in your account

5

Putting your money into something that can make you more money later is called an investment

6

Inflation is when the prices of goods and services go down over time, make money worth more

7

Wealth is when your assets can cover all your expenses

8

Supply is the amount of product available for people to buy

9

Your wants come secondary to your needs

10

Income is the money you spend

11

Interest helps your savings grow quicker

12

A bill is a request for payment, like for utilities or rent

13

The US dollar is the form of currency is America

14

A loan is borrowed money that acrues interest but doesn't need to be paid back fully

15

Demand is the amount of money people are willing to spend on a good or service

16

A checking account is used for everyday spending and bills

17

A financial advisor is someone who helps you plan and manage your money

18

Expense is the money you earn in exchange for labor or investments

19

The opportunity cost is what you give up when you choose one option over another

20

A savings account earns higher interest than most investments

21

The upfront amount of money you pay when buying something expensive like a house or car is called an upfront payment

22

A bank statement is where you can see your credit score

23

Your salary is the total cost of all your assets

24

Your net income is the money earned before taxes and deductions

25

A car loan is a form of debt

26

A credit card gives you extra money to spend when you run out of yours

27

A HYSA pays more interest than a traditional savings account

28

When my brand new car's value dropped after driving off the lot, it depreciated

29

Missing payments on loans will lead to late fees

30

Your needs should be considered after your wants have been taken care of

31

A producer is a person or business that makes or sells goods and services

32

Your gross income is your total income after taxes and deductions

33

A credit report is where you can see a summary of your bank activity

34

When the cost of my home rises in value, it's called appreciation

35

An emergency fund is where you should save 3-6 months of your living expenses

36

The minimum payment is what you must pay on loans or other types of credit

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