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What Is Your Financial IQ?

Saving, spending, investing, borrowing – there's a lot to know when it comes to finance. Take our quiz to see where you stand.

what is your financial iq

Only 57% of American adults are financially literate, according to a survey by Standard & Poor’s. Without a basic understanding of financial concepts, people are far more likely to make poor decisions regarding their money.

This knowledge is arguably more valuable than ever, as tools and products that can significantly improve your financial situation are so easily accessible. Yet without a proper understanding of how they work, let alone that they exist, they’re rather useless.

To gauge your knowledge of all things money, we put together a quiz that asks: What is your financial IQ?

 

Between securing a loan, buying a car, saving for retirement, and much more, AAA is here to help you with all your financial needs. Learn more about all the products and services available to members.

So, what is your financial IQ? Share your quiz results in the comments. 

Comments
  • Raymond L.

    Your question on what is net income needs to clarify that you are speaking about personal income; it is confusing for those who actually understand accounting since net income is a GAAP term and those of us who invest understand it in a different way.

    Reply
    • Vivian

      Thanks for clarifying. It was the only question that I got wrong!

      Reply
  • Ed M.

    Your question about social security benefits should specify that you are asking about SS retirement benefits (to exclude disability or survivot benefits).

    Reply
    • Agnes

      Exactly! I started collecting social security at 60!
      And got the answer wrong

      Reply
      • Ann B.

        I also started collecting as a surviving spouse at age 60 – the question should be collecting “on your own record” – as it is stated, 60 is the correct answer.

        Reply
      • Andrew S.

        Hi Maria, after you hit submit you can look back through the quiz to see the correct answers. They will have a green check mark next to them. Thanks for taking the quiz!

        Reply
      • Andrew S.

        Hi Tom, after you hit submit you can look back through the quiz to see the correct answers. They will have a green check mark next to them. Thanks for reaching out!

        Reply
    • Andrew S.

      Hi James, after you hit submit you can look back through the quiz to see the correct answers. They will have a green check mark next to them. Thanks for reading!

      Reply
  • Matt K.

    It seems that every time I entirely pay off my credit card debt my score drops by 10 to 25 points even though I pay down my mortgage principle at approximately ten times whatever any credit card debt that I have incurred . When I ask the credit agency (one of the top three) they reply that that is what the algorithm indicates.

    I have yet to receive a response from either the agency mathematicians who created the algorithm, nor the IT personnel who check the algorithm for accuracy. Any mathematician or IT personnel out there have the answer?

    Reply
  • Suresh S.

    What are my test quiz results and what are the right answers

    Reply
    • Andrew S.

      Hi Suresh, when you hit submit, your score will pop up. You’ll also be able to look through the questions to see the correct answers. They will have green check marks next to them. Thanks for reading!

      Reply
    • Andrew S.

      Hi Nancy, after you click submit, your score will pop up. Thanks for taking the quiz!

      Reply
  • Jeffrey M.

    I really didn’t know some of the answers to the questions in the quiz, and I listen to the financial shows on the radio too. It’s funny what you can learn from taking a quiz like this.

    Reply
  • This question’s answer is incorrect: “You’re entitled to one free credit report every 12 months from each of the national credit reporting bureaus.”
    As part of COVID, the bureaus all allow a free weekly report.

    Reply
    • Julie

      So what about their answer is incorrect? If they all allow free reports weekly that covers the free yearly requirement in the question.

      Reply
      • The entire thing is incorrect: you’re not entitled to “one free credit report every 12 months”, it’s now entitled to 1 free credit report every week (so 52 a year). That’s completing misleading.

        Reply
  • Nancy S.

    Social Security answer is wrong, or the question is poor. Widows may collect at 60. In fact, disabled may receive way earlier but I took the youngest choice offered.

    Reply
  • got three wrong; the net income question because I am an accountant and net income to me is after expenses; the heating question because while I live in the northeast I was thinking about nationwide and not everyone uses heat or cooling but everyone uses hot water; and the credit question about length of history because I thought that negative info goes away after 7 years.
    Also with regard to the Social Security question, when I started to collect, the early retirement age was 60, not 62 as it is today.

    Reply
    • Andrew S.

      Hi Pat, when you hit submit, your score should be displayed. Hope that helps and thanks for reading!

      Reply
    • Andrew S.

      Hi Pat, thanks for taking the quiz. Once you answer the questions and hit submit, your score will pop up. You’ll also be able to look through the questions to see the correct answers.

      Reply
    • Andrew S.

      Hi Suzanne, after you hit submit you can look back through the quiz to see the correct answers. They will have a green check mark next to them. Thanks for taking the quiz!

      Reply
    • Andrew S.

      Hi Elizabeth, thanks for taking the quiz! After you answer the questions and hit submit, your score will appear. You’ll also be able to look through the quiz to see the correct answers.

      Reply
  • Lauren M.

    Great quiz, I received an 89% Not great but not half bad!
    Thank you for sharing.

    Reply
  • Chas I.

    The answer for “Checking your credit report lowers your credit score. ” is debatable; I have recently received a credit report stating that one of the factors lowering my score is that there were too many requests for reports (~3 in one year, two of them from banks considering mortgages). It may be that the score is affected only by other people asking, but the question doesn’t say this. (89% with this “error” — I also forgot that SSI can be started at a lower level at age 62, which I’m well past.)

    Reply
  • I learned a few things just by taking this quiz. Thanks for providing it!

    Reply

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