| A | B |
|---|
| financial literacy | the ability to understand finances |
| debit card | a card that deducts money immediately |
| credit card | buy now and pay later with interest |
| checking account | an account that lets you write checks |
| saving account | this account pays you a low interest monthly |
| insufficient funds | bank can't cover the check you wrote, you dont have enough money |
| overdraft | too much money withdrawn and available balance goes below zero |
| check register | a record of all your banking transactions |
| bank statement | a summary of all financial transactions kept by the bank |
| reconcile statement | difference between check register and bank statement balances |
| budget | helps you manage your money |
| reserves | money for emergencies - "rainy day" |
| income | money coming in |
| expenses | money you pay out |
| economical | being careful not to waste money |
| cleared check | check paid by the bank |
| net pay | paycheck after taxes |
| gross pay | paycheck before taxes |
| income vs expenses | determines what you can afford |
| discretionary income | money left to spend after necessary expenses are paid |
