Download Personal Finance and Banking: Terms, Definitions, and Regulations and more Quizzes Economics in PDF only on Docsity! TERM 1 3 Steps of personal finance DEFINITION 1 Set your financial goals Activate plans to meet goals Evaluate and revise plans as needs/goals change TERM 2 This Act opened up competition. New forms of banking emerged including banks w/o main offices or branches. Also opened up bank mergers DEFINITION 2 Monetary Control Act of 1980 with the deregulation of banking TERM 3 Requires financial institutions to reveal annual percentage yield/rate, fees charged, information about the loan balance, payment due, and total amount charged DEFINITION 3 Truth in Lending Act TERM 4 This Act regulates gov't insurance of banks or savings and loans accounts. (currently up to $ _) DEFINITION 4 Federal Insurance Deposit Act Up to $250,000 per depositor per bank TERM 5 Traditionally, an emergency fund of _/_ months of salary set aside as savings is recommended as a financial goal DEFINITION 5 3 to 6 months TERM 6 Emergency funds should be kept in a liquid interest-bearing account such as DEFINITION 6 Money market fund Short-term certificates of deposit (CDs) Savings account TERM 7 Banks and brokerage firms offer CDs with a maturity of at least _ days, with penalties on early withdrawals. DEFINITION 7 at least 7 days TERM 8 Certificates of Deposit (CDs) are a type of DEFINITION 8 time deposit which is usually safe to store money from 7 days to several years TERM 9 This occupation looks at a persons or a familys total financial picture, helps that person or family define and prioritize goals, and then works out a plan to achieve those goals. DEFINITION 9 Financial Planner TERM 10 A new breed of financial planner: s a specialist who is trained to focus on who gets the assets in divorces and who works alongside attorneys who handle legal documents and child custody issues. DEFINITION 10 Divorce planner TERM 21 (6) Rights under the Fair Debt Collections Practices Act: DEFINITION 21 Debt collectors may contact you only between 8:00A.M. and 9:00 P.M. They may not contact you at work if they know your employer disapproves. They may not harass, oppress, or abuse you. They may not lie when collecting debts (implying that you have committed a crime) They must identify themselves to you on the phone. They must stop contacting you if you ask them to in writing TERM 22 A form of legal recourse open to insolvent debtors DEFINITION 22 bankruptcy TERM 23 Bankruptcy stays on your credit for DEFINITION 23 10 years TERM 24 Best chapter of bankruptcy that most individuals want (aka) DEFINITION 24 Chapter 7 - "Straight Liquidation Chapter" ALL assets are liquidated and there is NO repayment TERM 25 Alternative to Chapter 7 DEFINITION 25 Chapter 13 which allows debtors to REPAY some of the debt they owe, and in return they keep most of their property (this particular debtor is usually someone with regular income)
