FDIC & Federal Reserve
What does FDIC stand for?
Federal Deposit Insurance Corporation
True or false: A debit card and a check card mean the same thing.
True
What is the name for a non-profit financial institution that is owned by it's members. It usually has lower fees and better rates.
credit union
When you save money, you want the interest rate to be low or high?
high
Which transaction would reduce your account immediately: ATM withdrawal, a check you put in the mail today, a deposit you put in yesterday?
ATM withdrawal
What does the FDIC do?
Insure deposits up to $250k
When you use your debit card, which account does the money come out of?
Checking
What is the term for being able to easily turn an asset into cash?
liquid/ liquidity
A savings vehicle that earns the least interest, but requires the lowest deposit and balance.
traditional/ regular savings account
If you opt out of overdraft protection, what will happen if you try and make a purchase without sufficient funds?
The card will be declined
The Federal Reserve establishes the federal budget. True or false.
False.
When you use your debit card, you should record the transaction in this.
Check register
What is it called when you move money electronically from one account to another?
Electronic Funds Transfer (EFT)
Which bank account is the least liquid: savings account, money market account, CD, checking account
CD
I have a car payment for $350.00 to pay on the 15th of each month. Do I record the transaction in the debit or credit column of my check register?
debit
The Federal Reserve is not responsible for which of the following: setting interest rates, giving loans to other banks, printing currency, stabilizing the economy/ banking system.
printing currency
The name for the security code you enter in order to use your debit card.
PIN
What is the name of the banking service that lets you make a purchase even if you have nonsufficient funds? They charge a fee of course.
Overdraft Protection
The name for the amount of money you must keep in your savings account to not be charged a fee.
minimum balance
Which of the following can be used like cash: debit card, cashier's check, personal check?
All of them can be used like cash
When the Federal Reserve sets lower interest rates, what are they encouraging Americans to do?
spend
How long do you have to report a debit card missing or stolen if you do not want to pay any of the charges?
before any unauthorized charges are made
What is the term for the amount of money that you have in your bank account?
Balance
A money market account requires a higher ____ and a higher _____ in order to open the account and avoid fees. (There are two things here)
deposit & balance
A type of check endorsement which includes your signature and the account number to deposit the money in.
restrictive endorsement