General
What is a bank?
A financial institution in which people use to store their money (varied responses)
What is a the difference between Mobile Banking and a Digital Wallet
Mobile banking A type of banking whereby transactions are made via a smartphone or tablet app. The account holder can transfer money between accounts, pay bills, deposit checks, and monitor account activity.
Digital Wallet Consumers can pay for items at a store with a wave of a smartphone and the costs are charged to a debit or credit card
Princess is saving up for a down payment on a pre-owned car, the cost will roughly be $2,000. which kind of account would be best for her to open?
A savings account
Interest earned on both the principal amount and any interest already earned, YOU are being paid interest on interest.
Compound Interest
What are 5 different forms of money?
Paper money, coins, checks, credit cards, debit cards, etc.
Name 2 ways a person can use a bank.
Saving, borrowing, paying bill or managing money
What is the difference between a checking and saving account
One is an account that is specifically made for spending the money you put in the account the other is for saving money
Recently Debra has come into some money and instead of carrying it around she decides to open an account just for random spending, which account should she open
A checking account
The rate at which the prices for goods increases and consumers' purchasing power decreases.
Inflation
A service offered by some banks in which money is immediately transferred from one person to another
P2P payments
What is the 50-30-20 rule?
To keep your spending in alignment with your savings goals.50% for Essentials,, 30%Wants, 20%Savings
What is the difference between deposit and a withdrawal.
Deposit Money placed in a bank account
Withdrawal Taking money out of an account
Jay is at Walmart, he is offered a 20% discount if he signs up for what type of card
A credit card
Whatever you must give up to obtain some other item.
Opportunity Cost
The class that is required to pass in order to graduate in the State of Virginia
Economics-Personal Finance?
What is a debit card
A card that can be used as cash where the money is transferred from your bank account
What is the difference between direct deposit and an overdraft
Direct deposit When money is automatically put in a bank account
Overdraft A bank term that means you charged for money that you didn't have
Ruth had been in an accident that left her injured. What kind of bank would be most beneficial to her if she has no way of getting around?
An online bank
A plan for saving for the future by putting money aside before paying regular monthly bills
Pay Yourself First
Name four banks
Bank of America, Wells Fargo, Chase, SoFi, Discover, American Express, Capital One
What is FDIC
Federal Deposit Insurance Corporation: A federal guarantee for banking deposits of up to $250,000
What is the difference between a debit and a credit card.
A debit card only uses the money from the person bank account.
A credit card uses the money in which a person borrowed from the place in which they received the card.
John and Jill just had a daughter, ever since they found out they were having a child they saved money, together they saved $3,000. They are hoping to put it into an account for her college fund. Which account should they open?
A CD
The price paid for using someone else's money.
Interest
A service provided by the bank that will automatically loan you money when your balance will not cover the check you wrote.
Overdraft Protection