Financial Terms Quizs

Credit

• The ability to borrow money or buy things to be paid back later.

• A type of loan that must be repaid immediately.

• A financial term that refers to cash on hand.

• A method of saving money for future purchases.

Principal

• The original amount of money borrowed.

• The interest charged on a loan.

• The total amount paid back over time.

• The fees associated with borrowing money.

Interest Rate

• The amount a loan is charged monthly.

• The total cost of a loan over its lifetime.

• The percentage of the loan amount that is paid back.

• The fee charged for processing a loan application.

Debt

• Money owed to another person, company, etc.

• A type of investment that generates income.

• A financial term for profit made from sales.

• A legal agreement to lend money.

Interest

• The money that is added to the principal monthly due to the interest rate.

• A fee charged for borrowing money.

• The total amount of money borrowed or invested.

• The rate at which interest is paid by borrowers for the use of money that they borrow.

Garnishment

• A voluntary payment plan for debts.

• A court-ordered form of debt collection where money is taken directly from a person's pay.

• A type of loan with no interest.

• A method of negotiating lower credit card rates.

Disposable Income

• Money a person has left after paying all required taxes.

• Total income before any deductions.

• Income that is not subject to taxation.

• The amount spent on luxury items.

Lender

• A person who borrows money.

• A person who lends money.

• A person to whom money is owed.

• A financial institution that provides loans.

Loan Term

• The set amount of time a loan has to be repaid.

• The interest rate applied to the loan amount.

• The total amount of money borrowed.

• The fees associated with processing the loan.

Borrower

• The person taking out a loan.

• A financial institution that provides loans.

• A person who lends money to others.

• A government agency that regulates loans.