Personal Finance Final Review

Front

A depository institution account that is designated to hold money not spent on current consumption.

Back

Savings Account

Front

An account at a depository institution that provides an easy method for withdrawing and depositing money.

Back

Checking Account

Front

Which type of savings tool is the MOST Liquid? Options: Savings, Checking, Certificate of Deposit, Money Market Account

Back

Checking

Front

Which type of savings tool typically earns the HIGHEST Interest? Options: Savings, Checking, Certificate of Deposit, Money Market Account

Back

Certificate of Deposit

Front

Which savings tool would you recommend Glenn utilize and why? Options: Checking Account because he can quickly access his funds daily and it is the MOST liquid option. Certificate of Deposit because he can earn a higher interest rate and doesn't need the money for a year

Back

Certificate of Deposit because he can earn a higher interest rate and doesn't need the money for a year

Front

Micah is a high school senior who works part‐time earning $500 per month. He is responsible for paying several of his own expenses including entertainment, automobile insurance and eating out. He needs a flexible account which allows him easy access to his money. Which savings tool would you recommend Glenn utilize and why?

Back

Checking Account because he needs access to his funds often.

Front

A record of the borrower’s past loan and credit‐related transactions.

Back

Credit History

Front

A loan of a certain amount of money that a borrower must repay in a specified number of equal payments.

Back

Closed‐end Credit

Front

When goods, services, and/or money is received in exchange for a promise to pay back a definite sum of money at a future date.

Back

Credit

Front

A person or organization who makes funds available to borrow.

Back

Lender