FHCE 3200 Final Jacobs UPDATED
ACTUAL Exam Questions and CORECT
Answers
Mainstream Lenders - CORRECT ANSWER Traditional financial institutions such as banks
and credit unions that offer loans with regulated interest rates.
Alternative Lenders - CORRECT ANSWER Non-traditional lenders like payday lenders or
pawnshops, often with higher fees and less regulation.
Personal lines of credit - CORRECT ANSWER Revolving credit that can be used as needed
up to a limit.
Debt consolidation loans - CORRECT ANSWER Loans used to combine multiple debts into
one with a single payment.
Co-signed loans - CORRECT ANSWER Loans signed by both the borrower and a co-signer
who agrees to repay if the borrower defaults.
Subsidized student loans - CORRECT ANSWER Federal loans where the government pays
interest while the student is in school.
Unsubsidized student loans - CORRECT ANSWER Federal loans where interest accrues
while the student is in school.
PLUS loans - CORRECT ANSWER Federal loans for graduate students or parents of
undergraduates with higher interest rates.
Consolidation loans - CORRECT ANSWER Loans that combine multiple federal student
loans into a single loan with one monthly payment.
, CDs (Certificates of Deposit) - CORRECT ANSWER Time deposits with fixed interest rates
and maturity dates.
Savings accounts - CORRECT ANSWER Bank accounts that earn interest with high liquidity.
Money market accounts - CORRECT ANSWER Savings accounts with higher interest rates
and limited check-writing ability.
HMO (Health Maintenance Organization) - CORRECT ANSWER Requires members to use a
network of doctors and get referrals for specialists.
PPO (Preferred Provider Organization) - CORRECT ANSWER Offers more flexibility in
choosing doctors and does not require referrals.
EPO (Exclusive Provider Organization) - CORRECT ANSWER Covers services only if you
use doctors in the plans network, except emergencies.
POS (Point of Service) - CORRECT ANSWER Combines features of HMOs and PPOs;
referrals needed for specialists.
Term life insurance - CORRECT ANSWER Provides coverage for a set period and pays out if
the insured dies during that time.
Whole life insurance - CORRECT ANSWER Permanent insurance with a savings component
and fixed premiums.
Living will - CORRECT ANSWER Specifies medical treatments you do or do not want if you
become incapacitated.
ACTUAL Exam Questions and CORECT
Answers
Mainstream Lenders - CORRECT ANSWER Traditional financial institutions such as banks
and credit unions that offer loans with regulated interest rates.
Alternative Lenders - CORRECT ANSWER Non-traditional lenders like payday lenders or
pawnshops, often with higher fees and less regulation.
Personal lines of credit - CORRECT ANSWER Revolving credit that can be used as needed
up to a limit.
Debt consolidation loans - CORRECT ANSWER Loans used to combine multiple debts into
one with a single payment.
Co-signed loans - CORRECT ANSWER Loans signed by both the borrower and a co-signer
who agrees to repay if the borrower defaults.
Subsidized student loans - CORRECT ANSWER Federal loans where the government pays
interest while the student is in school.
Unsubsidized student loans - CORRECT ANSWER Federal loans where interest accrues
while the student is in school.
PLUS loans - CORRECT ANSWER Federal loans for graduate students or parents of
undergraduates with higher interest rates.
Consolidation loans - CORRECT ANSWER Loans that combine multiple federal student
loans into a single loan with one monthly payment.
, CDs (Certificates of Deposit) - CORRECT ANSWER Time deposits with fixed interest rates
and maturity dates.
Savings accounts - CORRECT ANSWER Bank accounts that earn interest with high liquidity.
Money market accounts - CORRECT ANSWER Savings accounts with higher interest rates
and limited check-writing ability.
HMO (Health Maintenance Organization) - CORRECT ANSWER Requires members to use a
network of doctors and get referrals for specialists.
PPO (Preferred Provider Organization) - CORRECT ANSWER Offers more flexibility in
choosing doctors and does not require referrals.
EPO (Exclusive Provider Organization) - CORRECT ANSWER Covers services only if you
use doctors in the plans network, except emergencies.
POS (Point of Service) - CORRECT ANSWER Combines features of HMOs and PPOs;
referrals needed for specialists.
Term life insurance - CORRECT ANSWER Provides coverage for a set period and pays out if
the insured dies during that time.
Whole life insurance - CORRECT ANSWER Permanent insurance with a savings component
and fixed premiums.
Living will - CORRECT ANSWER Specifies medical treatments you do or do not want if you
become incapacitated.
