The following is a guide to provide easy-to-understand definitions of
financial terms. There is so much to know when dealing with finances – while you may have heard some or even all of these words…you might not understand their full meaning. Hope this helps!
Credit Score: Your credit score is a number, calculated based on information in your credit report, that lenders use to assess the credit risk you pose and the interest rate they will offer you if they agree to lend to you. What is taken into account? Payment history, amount of current debts and age of accounts are a few items that make up a credit score.
Debt: Any money owed to an individual, company or other organization.
Individual Retirement Account (IRA): An account in which individuals may set aside earned income in a tax-deferred retirement plan.
Co-Sign: The act of signing for another person’s debt which involves a legal obligation made by the co-signer to make payment on the other person’s debt should that person default. Having a co-signer is a way for individuals with a low income or poor/limited credit history to obtain financing.
Credit Limit: The amount of credit that a financial institution extends to a client.
Debt-To-Income Ratio (DTI): A personal-finance measure that compares an individual’s debt payments to the income he or she generates.
Fixed Interest Rate: A loan or mortgage with an interest rate that will remain at a predetermined rate for the entire term of the loan.
Insufficient Funds: Occurs when an account cannot provide adequate funds to satisfy teh demand of a payment.
Loan: The act of giving money, property or other material goods to another party in exchange for future repayment of the principal amount along with interest or other finance charges. A loan may be for a specific, one-time amount or can be available as open-ended credit up to a specified ceiling amount.
Overdraft: An extension of credit from a lending institution when an account reaches zero. An overdraft allows the individual to continue withdrawing money even if the account has no funds in it.
Safe Deposit Box: A box located inside a financial institution that can be rented to store valuables such as documents and jewelry. Safe deposit boxes can be accessed with keys, pin numbers or some other security pass.
*Term definitions from financial-dictionary.com and investopedia.com.

According to the Federal Trade Commission, about nine million Americans become victims of identity theft every year. It can take several years and a lot of money for you to repair the damage.

What better way to get over the cold and snow then to go out and enjoy it?! If you can’t beat em’ join em’ right? Here are some fun activites for your family and friends to look forward to this upcoming winter season…
Happy Holidays!
As a responsible, 23-year-old – you would think that I’d already have a 401k or IRA account started. Especially because since I entered high school I’ve been hounded about saving as early as possible, with statistics like: if you start saving in your 20’s, about 10% of your paycheck will set you up for a comfortable retirement, if you don’t start saving until middle age you need to put away 15-20%, and gasp…if you wait until after middle age you would need to save everything possible.






I’m in my early 20’s and just starting out in the “real world.” It can be hard at times to keep track of what I’m spending and staying within a budget.
Virtual Farming – For the gamers out there, this one is just for you! Kids in China are making a huge amount of money just by playing video games all day! They are trading the “fake” money they make in the game and exchanging it for real money to the gamers that want some extra cash in the game to get to higher levels or hidden places!


