Take the Money Test
Bills.com is a website that has been created to test your knowledge of money and financial issues. They have a test called the “Financial IQ Quiz” that — you guessed it — tests your knowledge of various financial topics. They cover loans, debt, credit cards, banking, Credit counseling, and a few other topics.
The idea is to see how knowledgeable you truly are on these topics.
Why is this important?
Well for starters, I would guest most people — or at least most Americans — think they know more than they really do about money. This is called the overconfidence bias. With the overconfidence bias, everyone thinks they are above average. A great quote to sum that bias up: “75% of people think they are above average.” Statistically, that’s impossible. But that’s how we “feel”.
Secondly, this quiz not only tells you what you’ve gotten right and what you got wrong, but for the questions you miss it gives you the correct answer and tips on how to combat your misunderstanding.
I personally scored a 97 out of 100 — so I’m very pleased. But I still learned a few things about bill pay and insurance that I wouldn’t have known had I not gone and taken the quiz. These things will help me in the future by saving me more money — money that can go towards retirement.