Personal Finance Flashcard

Front

What is the purpose of having health insurance?

Back

It protects you from unexpected, high medical costs

Front

In the state of Pennsylvania, you are required to have auto insurance on the vehicle that you drive.

Back

True

Front

What is the purpose of life insurance?

Back

To cover a family financially in the case of a death of a provider

Front

Choose the word for the following definition: "the ability to borrow money or access goods or services with the understanding that you'll pay later."

Back

credit

Front

A sum of money that is borrowed.

Back

loan

Front

What is the term for a loan to purchase a house?

Back

mortgage

Front

What is a cosigner?

Back

Someone who agrees to take full responsibility for paying back a loan if the borrower cannot

Front

690-719 is considered a(n) _____ credit score.

Back

good

Front

What does APR stand for?

Back

Annual Percentage Rate

Front

The amount of money an individual or business pays for an insurance policy

Back

premium