Show:
Bank or Credit Union
Account Types
Bank/CU Features
Liquidity/Extras
100

Profit-focused (number one goal is to make money)

Bank

100

Account where the main purpose is to save money. Earns a modest interest rate and has limited withdrawals per month. 

Savings Account

100

What is a service you could find at both a bank and a credit union?

Loans/mortgages, checking, savings, CDs, ATM, debit cards, overdraft protection

100

How easily an asset can be turned into cash is referred to as...

Liquidity

200

Owned and operated by its members

Credit Union

200

Account used for everyday transactions. No transaction limit, often tied to a debit card. 

Checking Account

200
Who insures (protects) banks?

The FDIC

200

Which has a higher liquidity, a savings account or a certificate of deposit?

Savings account

300

Offers lower (cheaper) interest rates on loans.

Credit Unions

300

Hybrid checking/savings account. Allows for check writing and earns interest. Often has a higher minimum balance.

Money Market Account

300

Who insures (protects) credit unions? 

The NCUA

300

Sort these assets from highest liquidity to lowest liquidity. House, checking account, cash, savings account

1. cash 2. checking account 3. savings 4. House

400

Often has more physical and ATM locations

Bank

400

Time based savings account. Earns a guaranteed fixed interest rate. Penalty if money is withdrawn early. 

Certificate of Deposit (CD)

400

A financial institution will continue to pay out money for checks from you checking as long as...

There is enough money in your account to cover the amount of the check
400

True/False: You can have a debit card attached to a savings account

False
500

More likely to be local

Credit Union

500

If I wanted to open account that would let me write checks as well save and earn interest over time, what type of account should I open?

Money Market Account

500

What is something a bank/credit union will ask you for before you open an account?

Proof of identification, address, SSN, passport

500

  1. By moving money from a checking account that doesn't give interest to a CD a person is sacrificing some
    A. earnings for safety
    B.safety for liquidity
    C. liquidity for earning
    D. dividends for safety




C. Liquidity for earning. Money is now harder to get to, but it will grow in value more