Savings Accounts
Often requires a minimum balance. Transactions are limited per month.
A. Money Market
B. Savings Account
C. Certificate of Deposit
B. Savings Account
Retail banks that only operate on the internet
Online Banks
Is it safe to leave a blank check floating around?
No
You want to withdraw $400 from your checking account at an ATM, but you only have $300 available. What is likely to happen if you still attempt the withdrawal?
A) The ATM will dispense $400 anyway
B) The transaction will be denied due to insufficient funds
C) The bank will cover the $100 difference without a fee
D) You will be charged a stop payment fee
B. The transaction will be denied due to insufficient funds
What historical event led to the FDIC insuring bank accounts?
The Great Depression
Usually offers a low interest rate, but they keep your money safe. You should only access this for emergencies
A. Money Market
B. Savings Account
C. Certificate of Deposit
A. Money Market
Corporate Owned and For Profit
Retail Banks
If interest rates decrease, which of the following is likely to happen?
A) People will be more likely to save money
B) People will pay less for loans
C) Credit card rates will increase
D) Banks will offer higher interest on savings accounts
B) People will pay less for loans
You notice a charge on your checking account statement that you don’t recognize. What should be your first step?
A) Close your account
B) Call your bank and request a stop payment
C) Review recent transactions and contact the bank if you suspect fraud
D) Write a new check to cover the amount
C. Review recent transactions and contact the bank if you suspect fraud
Snow White & The Seven Dwarves
Holds money for a fixed term, anywhere from a few months to a few years. This account usually offers the highest annual percentage yield; the longer the term you commit your cash to, the higher the interest rate.
A. Money Market
B. Savings Account
C. Certificate of Deposit
C. Certificate of Deposit
Credit Union
All of these are practical ways to protect your personal financial information EXCEPT…
A) Put a freeze on your credit if you’re not opening any accounts soon
B) Check your credit report at least once a year
C) Avoid using any online banking or shopping services
D) Create different passwords for different accounts
C) Avoid using any online banking or shopping services
You have been consistently saving $100 a month in an account that earns 3% interest annually. Your friend keeps the same amount of money in cash at home. After one year, how will your savings differ from your friend's?
A) Your savings will be the same since you're both saving the same amount
B) Your account will have earned interest, increasing your total balance compared to your friend’s cash savings
C) You will have less money because banks charge interest on savings accounts
D) You will have less money because cash at home earns more than bank interest
B. Your account will have earned interest, increasing your total balance compared to your friend's cash savings
12. A person following the advice to “pay yourself first”..
A) Did not receive a salary increase to keep up with the cost of living
B) Will have more money available for savings this year
C) Will be able to buy more goods and services this year
D) Puts aside money for saving before spending money on entertainment
D) Puts aside money for saving before spending money on entertainment
How much money does the FDIC insure?
Up to $250,000
A bank that makes mortgage Loans Using Deposits from customers to fund home loans
Saving and Loans Associations
You have $10,000 to invest and want the highest interest rate, but you’re okay with not accessing the money for two years. Which option would likely offer the best return?
A) Money Market Account
B) Regular savings account
C) Certificate of Deposit (CD) with a two-year term
D) Checking account
C. Certificate of Deposit (CD)
You’re deciding between opening an account at a credit union and a bank. Which of the following might be an advantage of choosing a credit union?
A) Credit unions offer higher fees for loans and checking accounts
B) Credit unions are for-profit institutions, allowing you to earn dividends on investments
C) Credit unions are member-owned, often providing better rates and lower fees compared to banks
D) Credit unions are regulated by different laws than banks and offer unlimited insurance on deposits
C) Credit unions are member-owned, often providing better rates and lower fees compared to banks
What year did Shrek come out?
A) 2005
B) 2001
C) 1999
D) 2003
B. 2001
What kind of savings account has the highest interest rate?
Certificate of Deposit
Manages the monetary system for the government
Central Banks
You receive an email that appears to be from your bank asking for your login information. What is the best course of action?
A) Reply with your account information so they can fix any issues
B) Ignore the email since it's likely unimportant
C) Call your bank directly using the number on their official website to verify the email’s authenticity
D) Click the link provided in the email and log in to your account
C) Call your bank directly using the number on their official website to verify the email’s authenticity
Your friend asks you to pay them back for concert tickets via a peer-to-peer (P2P) payment service like Venmo or ApplePay. Which of the following should you do to ensure a safe transaction?
A) Share your login information with your friend so they can send the request
B) Use a secure Wi-Fi connection and double-check the recipient's username before sending the payment
C) Send the payment using public Wi-Fi to make the transaction faster
D) Transfer the funds using cash instead to avoid fees associated with P2P payments
B) Use a secure Wi-Fi connection and double-check the recipient's username before sending the payment
What is the name of Sandy Cheeks' house in SpongeBob?
A) The Bubble
B) The Squirrel House
C) The Tree Dome
D) The Oakwood
C) The Tree Dome