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Chapter 10 vocab
Money matters
| Question | Answer |
|---|---|
| Annual Percentage Yield (APY) | The actual interest rate an account earns stated on a yearly basis. |
| Grants | Forms of educational funding that do not have to be repaid. |
| Interest | Earning on principal. |
| Loan Consalidation | Combining many loans into one large loan with monthly payment. |
| Long-Term Needs | Expences that are costly and require years of planning and savng. |
| Principal | 1. The total amount borrowed 2. Amount deposited on which interest will be paid |
| Scholarships | Cash allowances awarded to students to pay education costs. |
| Short-Term Needs | Expenses beyond your regular monthly items. |
| Student Loans | Money borrowed to pay for education. |
| Work-Study | A program where on campus to earn money. |
| Automatic Deduction | Represent money you have authorized your bsnk or other organization to move from one account to another at regular intervals. |
| Certificate of Deposit (CD) | A time deposit where a fixed rate of interest is earned for a secific length of time. |
| Direct Deposit | Your net pay is deposited electronically into your bank account. |
| Money Market Account | A type of savings account that offers a more competitive interest rate than a regular savings account. |
| Payroll Savings Plan | A plan in which you authorize your employer to make automatic deductions from your paycheck each pay period. |
| Safety of Principal | A guarntee that you will not lose your savings deposit. |