Financial Literacy for iExplore

A budget is.....

• A sum of money that you've planned to use for a particular purpose

• The same thing as a savings account

• A list of things you want

A savings account is.....

• An account that allows you to borrow money at a rate of interest

• The same thing as a checking account

• An account where money is stored and the bank pays you a low amount of interest on the balance

A debit card is....

• Like a credit card, but it takes money directly from your checking account

• A card that you may only make ONLINE purchases with

• A card that allows you to buy goods and services with the promise to pay later.

A credit card is....

• A card that lets you buy goods and services with a promise to pay back later.

• A card that charges monthly interest if the amount isn't paid in full.

• Both A & B answers are correct

Why does your employer withhold money from your paycheck?

• Because they are mad at you

• Because of time you missed from work

• To pay federal and state taxes

• Because you were overpaid last month

A checking account is....

• An account that you can write checks or use a debit card to pay for things

• A sum of money to be used for a particular purpose

• A share in a corporation that gives your some ownership of the company

• An account that provides checks and balances

You made $300 last month mowing lawns. How do you best keep track of your money?

• Dig a hole in the back yard and bury it in a jar

• Put it all in savings

• Spend it on that new _____ you've been wanting!

• Budget it and split between current and future expenses

Your bank charged you $30 last week as an overdraft fee. What is an overdraft fee?

• A fee for drafting checks out of your account

• A state tax

• A fee for spending more than is actually in your acct

What is an example of a utility cost?

• Your electric bill

• Your grocery bill

• Your car payment

• Your rent

Which of the following are necessities for car ownership?

• A boss sound system

• Gas, insurance, maintenance

• Insurance, registration, tinting

• Registration, car payment, flashy rims