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Personal Finance

Economy

TermDefinition
income the money an individual obtains
expenses the cost required for something; the money spent on something.
overdraft a deficit in a bank account caused by drawing more money than the account holds.
budget A plan for making and spending money
interest the price paid for the use of borrowed money
investment the action or process of investing money for profit or material result.
bond money lent to government or company
mutual fund money put together from many investors and buys many different stocks and bonds
credit the ability of a customer to obtain goods or services and pay for it in the future, usually with interest
mortgage A loan to purchase a home or other real estate
repossess to reclaim something not paid for
credit score a number assigned to a person that indicates to lenders their capacity to repay a loan.
Created by: mhead
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