PFChapter1: Introduction to Personal Finance

A person or organization that uses a product or service.

• Interest
• Loan
• Consumer
• Debt

The granting of a loan and the creation of debt; any form of deferred payment.

• Debit

• Interest

• Credit

An obligation of repayment owed by one party (the debtor/borrower) to a second party (the creditor/lender); in most cases this includes repayment of the original loan amount plus interest.

• Debt
• Financial Literacy
• Interest

A system by which goods and services are produced and distributed.

• Interest
• Economy
• Debt
• Credit

The knowledge and skillset necessary to be an informed consumer and manage finances effectively.

• Consumer
• Financial Literacy
• Interest
• Personal Finance

A fee paid by a borrower to the lender for the use of borrowed money; typically calculated as a percentage of the principal (original loan amount). Kind of like rent for using someone else's money.

• Debt
• Loan
• Credit
• Interest

A debt evidenced by a “note,” which specifies the principal amount, interest rate and date of repayment.

• Loan
• Financial Literacy
• Personal Finance
• Interest

All of the decisions and activities of an individual or a family regarding their money, including spending, saving, budgeting, etc.

• Financial Literacy
• Interest
• Personal Finance
• Debt

Jimmy purchased a TV. Instead of paying cash, he will make monthly payments to the store to pay off the TV. This is an example of…..

• Debit

• Credit

• Interest

• Personal Finance

Jimmy borrowed $20 from Jackie and said he would pay her back $22 in three days. Jimmy now has a/an ______________.

• Debt

• Interest

• Economy