Financial Road Map

A spending plan for managing money during a given time period

• annual percentage rate (APR)

• budget

• certificate of deposit

• collateral

• principal

A clause included in credit card agreements that allows the company to increase your interest rate if you make just one late payment

• opportunity cost

• compound interest

• annual percentage rate (APR)

• universal default

• credit history

Property such as stocks, bonds, or a car, offered to support a loan and subject to seizure if you default

• collateral

• compound interest

• income

• fixed expense

• risk

The total amount of what it costs you to use credit in a given year; expressed as a percentage of the amount borrowed

• compound interest

• certficate of deposit (CD)

• annual percentage rate (APR)

• principal

• interest

The amount of money someone is willing to loan you; or the amount of money still owed on a loan

• collateral

• income

• interest

• principal

• opportunity cost

On average, a person with a college degree earns:

• just enough money to cover the costs of the class fees for the degree

• almost double what is earned by someone with no training beyond high school

• the same as someone who has a high school diploma

• none of the above

You received a phone call from your favorite music store where you have a store credit card. The caller says "We are offering a special half-price sale for our frequent customers and the only way you may receive this discount is if you order by phone." You should:

• give the caller your credit card account number and place an order so you can receive the discount

• place the order by phone but pay only when you receive the invoice

• end the call and call the music store back to ask about the half-price sale

• place the order and give the caller contact information for one of your friends so your friend can take advantage of the sale

If you have been a victim of identity theft, what can you do to prevent someone from using your personal information?

• stop using your accounts to see if there is any activity that you did not authorize

• get a new social security number

• place a fraud alert on your credit report

• get a new photo ID

• none of the above

Who is responsible for reporting identity fraud?

• the person whose identity was stolen

• the company that accepted a stolen credit card or false information

• any of the three credit reporting agencies

• the police

You can't find your credit card and you think it may have been stolen. What should you do?

• wait at least 90 days to report the card as missing or stolen in case you find the card

• immediately apply for another card to cancel out the stolen card

• contact your band for a replacement

• call the credit card company as soon as you are aware the card is missing