Personal Finance Lesson 1-3

 A promissory note and legal tender, issued and backed by the government, payable on demand to the bearer.

• Currency

• Bond

• Banknote

• Bearer

A person who holds, carries or presents something

• Digital Currency

• Currency

• Banknote

• Bearer

 Fixed Income Securities where the borrower, like a government or corporation, agrees to pay back the investor/lender with a certain interest rate and duration.

• Bond

• Currency

• Bearer

• Banknote

The only form of money that has actual, underlying, intrinsic value in itself, in addition to its use as a medium of exchange.

• Commodity Money

• Currency

• Digital Currency

• Fiat Currency

Paper and coin money in circulation used to purchase goods and services in an economy.

• Currency

• Bond

• Bearer

• Banknote

Bank deposits that can be withdrawn on demand in various ways, including with a check or debit card.

• Digital Currency

• Deposit Money

• Local Currency

• Private Currency

Currency that only exists in digital or electronic form, not in physical form.

• Treasury Bills/Notes/Bonds

• Specie

• Digital Currency

• Fiat Currency

Government-issued paper and coins with little or no intrinsic value in themselves, that are used to purchase goods and services, and that are backed by the government instead of being backed by a physical commodity like gold or silver.

• Treasury Bills/Notes/Bonds

• Private Currency

• Fiat Currency

• Digital Currency

A monetary standard where the basic unit of currency equals a certain quantity of gold

• Representative Money

• Specie

• Local Currency

• Gold Standard

The currency most commonly used in a certain geography.

• Digital Currency

• Local Currency

• Specie

• Treasury Bills/Notes/Bonds