Personal Finance Unit 1 Terms

Short Term Goal

A goal that you can reach in a short period of time; less than 1 year

Class Action Suit

A legal action on behalf of all the people who have suffered the same injustice

Legal Aid Society

A network of community law offices that provide free or low-cost legal assistance

Rebate

A partial refund of the price of a product

Consumer

A person who purchases and uses goods or services

Arbitration

A process whereby a conflict between a customer and a business is resolved by an impartial third party whose decision is legally binding

Service Contract

A separately purchased agreement by the manufacturer or distributor to cover the costs of repairing an item

Limited Warranty

Covers only certain aspects of the product

Full Warranty

Defective product will be fixed or replaced at no charge during a reasonable amount of time

Consumer Advocate

Group of people work toward improvement for consumers

Negotiate/Negotiation

Process by which compromise or agreement is reached while avoiding argument and dispute

Mediation

The attempt by a neutral third party to resolve a conflict between a customer and a business through discussion and negotiation

(Implied) Warranty

The product will do what it is intended to do

Unit Pricing

The use of a standard unit of measurement to compare the prices of packages that are different sizes

Scarcity

Unlimited wants, but limited resources

Long-Term Goal

a goal that you plan to reach over an extended period of time; over 1 year