Financial Algebra Vocabulary Fall 2025

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What is a Work-study program?

Back

A financial aid program that provides part-time employment to students to help pay for their education.

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Who is responsible for paying the interest on an unsubsidized loan?

Back

The borrower is responsible for paying the interest on an unsubsidized loan.

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What is a depository institution?

Back

A financial institution, like a bank, that accepts and holds customer deposits.

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What is an Investor?

Back

An individual who puts money into a business or project with the expectation of earning a profit.

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What is an asset?

Back

An asset is anything of value or a resource owned by an individual or entity, such as a car or property.

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What is a Grant?

Back

A form of financial aid that does not need to be repaid, typically awarded based on need or merit.

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What is a Federal Student Loan?

Back

A loan provided by the federal government to help students pay for their education, which must be repaid with interest.

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What is a Scholarship?

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A financial award given to a student based on academic or other achievements to help pay for education.

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What is the difference between subsidized and unsubsidized loans?

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Subsidized loans do not accrue interest while the borrower is in school, while unsubsidized loans do.

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What is the purpose of a checking account?

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A checking account is used for everyday transactions, allowing deposits and withdrawals, and often includes features like debit cards.