Government and Economics: Unit 9, quiz 1

Tithe

10% return back to the Lord from income you received it

Savings account

A bank service in which the depositor puts his money in the bank for the purpose of drawing interest

Name brand

A famous name product that may be more expensive due solely to its high recognition logo or slogan

Unsubsidized

A loan that will charge you interest from the start

Subsidized

A loan where you will not be charged any interest before you begin repayment

Interest

A percentage of the amount loaned which is a charge for the use of the money

Cashless society

A society where consumers rely solely on credit cards, debit cards, electronic accounts, and checks

Grace period

A time when there is no obligation to repay your loan

Process

Actions which take the check from the merchant to the accounting centers of the bank

Budget

An itemized account of the possible income and expenditures over a given period of time

factory direct

Another name for manufacturer to consumer selling

Federal Pell Grant

Assistance from the government which is not to be repaid

Your EFC is broken down into a simple equation

Cost of attendance minus expected family contribution equals financial need

Default

Failure to fulfill a financial obligation

Financial aid

Financial assistance for the potential college student

Federal student aid

Government financial help; it may be in the form of a grant or a loan

Impulse buying

Making a purchase on the spur of the moment without careful planet

Debt

Money owed to a person or a business

Income

Money received as earnings from work or the selling of goods

Middleman

Money will not only go to the manufacturer, but also to the store that stocks and sells the product

Nonsufficient funds

Notice sent to the customer if his deposits are not enough to cover the cost of the check he has written

Deferment

Official permission to postpone the payments of a loan

Steward

One who manages money or the affairs of a household

What are some of the consequences of defaulting a loan

One, the default could be reported to national credit bureaus and a negative history will stay on your credit report, too, your federal and state income tax refunds may be withheld until the debt is satisfied, sorry, your lender may declare the entire unpaid balance immediately due and payable, four, your wages may be garnished, five, you will not be eligible for additional financial aid until the default is resolved

How do you fill out a check

One, you write in the date, 2, you write in the name of the payee, 3, you write in the amount of money involved, and 4, you fill in the memo and sign the check

Online information

Phone system allows you to call into a service center and find out your balance up to the minute

Monthly budget

Planned income and expenditures for a calendar month

A check is

Simply a written order the instructs a bank to pay a certain amount to the bearer

Bank savings book

Small journal which is a continually updated account all of the money available in one's saving account

Expense

Some thing on which money is spent

Check date

Tells the bank the length of time used in the processing of the check as well as the day of the purchase

Expected family contribution

The assumed amount that the family will contribute to the students college tuition

Bank balance

The current money available in the depositors account

Capitalized

The interest is added to the principal amount of your loan

Payee

The person who received the check as payment

Minimum balance

The smallest balance allowed in an account without a financial penalty

Consignment shop

The store that sells an individual's goods in an agreement where both parties split the profit

Gross income

Total money earned, before deductions are made

Frivolous

Trivial

Overdraw

Writing a check for more money than it is available in your account

Checking account

Written orders the direct payment from a bank based upon the funds available from a depositors account

Memo/signature

Your personal autograph attesting to the validity of the checking account

Wholesale club

type of business that eliminates the retail part of the transaction