PERSONAL FINANCE GLOSSARY

P/E

Passive Management

Pay Date

Payee

Payee Account Number

Payment Protection

Percent Change

Percent Profit

Period Certain Payout

Periodic Rate

Points

Policy Owner

Policy Year

Preferred Risk

Preferred Shares

Premium

Premium Tax

Prepaid Tuition Plan

Prepayment Penalty

Prequalification

Previous

Price-to-Earnings Ratio (P/E)

Primary Beneficiary

Prime Rate

Principal

Private Mortgage Insurance (PMI)

Probate

Proceeds

Prospectus

Put Option

A state-sponsored program that permits parents to pay tuition years before their child enrolls in college. Parents make payments based on current tuition at qualified colleges, thus avoiding increases in tuition over time. The payments are invested in a portfolio and tuition is paid directly to the college when the child enrolls.