Are You Financially Literate? Financial Literacy Quiz Step 1 of 7 14% You have $100 in a savings account and the interest rate is 2% per year. After five years, how much do you think you will have in the account if you leave the money to grow? More than $102 Exactly $102 Less than $102 The interest rate on your savings account is 1% per year and inflation is 2% per year. After one year, how much will you be able to buy with the money in this account? More than today Exactly the same Less than today Buying a single company’s stock usually provides a safer return than a stock mutual fund. True False If interest rates rise, what typically happens to bond prices? They rise They fall They stay the same There is no relationship between bond prices and the interest rate You owe $1,000 on a loan and the interest rate you are charged is 20% per year compounded annually. If you don’t pay anything off, at this interest rate, how many years will it take for the amount you owe to double? Less than 2 years At least 2 years but less than 5 years At least 5 years but less than 10 years At least 10 years A 15-year mortgage typically requires higher monthly payments than a 30-year mortgage, but the total interest paid over the life of the loan will be less. True False SEE HOW YOU FARED So, how financially literate are you? Fill out this form to find answers to the quiz and see if you need to brush up on your financial knowledge to make the most of your retirement journey. Name First Last Email Δ
