Banking & Savings Accounts
Checking & Debit Cards
Credit Cards
Credit Scores
100

Who controls a credit union?

Their members make the decisions and vote on changes

100

What is the main differences between credit and debit cards?

Debit cards draw from your bank account, while you pay credit cards back later (they're like a loan)

100

What does APR stand for?

Annual Percentage Rate

100

What is a credit score?

A credit score is a three-digit number designed to represent the likelihood you will pay your bills on time

200

How much is your savings account insured for under the FDIC?

$250,000

200

What is one of the bank fees that you may be charged?

Overdraft

Below the minimum balance

Too many transfers between accounts

200

What are 3 factors to consider when selecting a credit card?

  • Types of rewards
  • APR
  • Annual fees
  • Sign-up bonuses
  • Ability to carry a balance
  • Convenience-nationally/internationally recognized
  • Cash advances
200

True or false: Using your debit card responsibly will increase your credit score slightly, but less than using a credit card will.

False

300

What is overdraft protection?

Overdraft protection is a guarantee that a check, ATM, wire transfer, or debit card transaction will clear if the account balance falls below zero.

300

Fill out the check provided as if you were buying a new iPhone at Apple for $923.75 today.

See check

300

What is the principal (definition)?

Original balance

300

Give three reasons why having a good credit score is important.

  • Better interest rates on loans (auto, home, etc)
  • More likely to be approved for loans and credit cards
  • Credit cards with better benefits, interest rates, and bonuses
  • Higher credit card limits
  • Access to more housing options
  • More options for payment plans (phones, cars, etc)
400

What are the four types of savings accounts?

Traditional Savings Account

Online Savings Account

Certificate of Deposit

Money Market Account

400

Are checks or debit cards safer--and why?

Checks, because each one has a unique number to protect from fraud

400

If Emma has a $1200 balance on her credit card this month and an APR of 20%, her interest charge for the month will be?

$20

400
What is range for credit scores (what is the lowest and highest possible)?

300-850

500

What are the three different types of banks?

Investment bank

Central banks

Commercial/retail banks

500
Are there more than one type of debit card? If so, what is an example?

Yes, but not really--

EBT or prepaid debit cards

500

The following high school seniors each bought $1500 of stuff to bring to college with them in the fall. Each one used a credit card with similar terms. Which student will end up paying the MOST for their purchases?

  1. Robert, who makes $300 payments per month until the debit is $0

  2. Stephan, who pays the first $1000 using graduation money and then pays $250 per month until the debt is $0

  3. Nelson, who makes the minimum monthly payment each month until the debt is $0

  4. Joan, who can't afford to make any payments and plans to put off the debt until she gets a summer job next year

Joan

500

What are the five key factors that affect your credit score?

Age of Accounts

Payment History

Credit Card Utilization Ratio

Account Mix

Inquiries

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