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Liquidity

Refers to the ease with which assets can be sold.

Money Orders

Payment orders for a specified amount of money, often limited in face value.

Opportunity Cost

The next best alternative foregone when a choice is made.

Inflation Impact

Lenders are most affected, while those with large debts are least affected.

Compound Interest

Interest calculated on the initial principal and also on the accumulated interest.

Credit Union

A member-owned cooperative financial institution offering lower interest rates on loans.

Overdraft Protection

A feature by banks to prevent checking accounts from overdrafting.

Time Value of Money

The value of money with a given interest rate over a period of time.

Rule of 72

A formula to estimate how long it takes for an investment to double.

Checking Account Reconciliation

Comparing your check register with the bank statement to ensure accuracy.

Credit Card Cash Advances

Withdrawal of cash from a credit card with higher interest rates.

Debt to Credit Ratio

The ratio of available credit to the debt carried.

Credit Reports

A numerical representation of creditworthiness used by lenders.

Identity Theft

Steps to take if one suspects being a victim, including contacting banks and credit bureaus.

Collateral

Secured loans use assets as collateral, while unsecured loans rely on credit scores.

Insurance Deductible

The amount the insured must pay before the insurer covers a claim.

Term Life Insurance

Pays a lump-sum benefit if the insured dies during the policy term.

Whole Life Insurance

A permanent policy that also serves as an investment.

Health Insurance Co-pay

The out-of-pocket amount paid for covered medical services.

Disability Insurance

Covers bills when the insured is disabled and unable to work for a period.

Auto Insurance Cost Reduction

Ways to lower auto insurance costs, such as good grades and safe driving.

Secondary Markets

Markets where securities are traded after being initially offered in the primary market.

Bull Market

A financial market experiencing extended growth above historical averages.

Bear Market

Financial markets undergoing a prolonged period of contraction or loss.

Bonds

Financial instruments giving holders the right to collect interest payments from borrowers.

Mutual Funds

Professionally managed investment vehicles pooling funds from investors to invest in various securities.

Investment Portfolio

Diversified set of investments held by an individual or institutional investor.

Diversification

Strategy of investing in different types of assets to reduce risk.

Dividends

Earnings distributed to shareholders of a company's stock.

Treasury Bills

Short-term loans sold to fund the U.S. government.

Net Worth

Total assets minus total liabilities, representing what one owns minus what is owed.

Retirement Plans

Various accounts like Pensions, 401k, Traditional IRA, and Roth IRA for retirement savings.

Inflation

General rise in price levels affecting creditors, fixed-income earners, and savers.

Deflation

Decline in the cost of consumer goods impacting companies and the economy.

Depression

Economic period with reduced production, consumption, and increased unemployment.

Graduated Income Taxes

Progressive tax rates increasing with higher taxable income.

SEC

Securities and Exchange Commission regulating the offer and sale of securities to the public.

Federal Reserve

Central banking system of the U.S. using monetary policies to regulate the money supply.

FDIC

Federal Deposit Insurance Corporation insuring deposit accounts up to $250,000 per depositor, per insured bank.

CFPB

Consumer Financial Protection Bureau regulating consumer protection in financial products and services in the U.S.