Unit 4: Debit and Credit Test Review

An example of a financial institution is

• Walmart

• A school

• Chase bank

• A hospital

Who uses financial institutions?

• Adults

• College graduates

• Everyone who maintains a savings or checking account

• Account holders with lots of cash

True or False: A debit card allows for an immediate electronic transfer of money from a cardholder's savings or checking account.

• True

• False

True or False: A debit card is useful during an emergency when you don't have the money you need to spend in your checking account.

• True

• False

Lenders use reporting agencies to determine

• An applicant's credit score

• An applicant's credit history

• Whether an applicant has outstanding debts or defaults

• All of the above

When lenders lend money to borrowers, they charge an additional fee for the use of their money. This fee is called:

• Debit

• Stock

• Interest

• Credit

Which of the following is an important safety tip when banking online?

• Never share your username and password with anybody

• Always use computers in public areas

• Never check your bank account online

• Always store your important passwords on your mobile device

Choose the three credit reporting agencies.

• Equifax

• Experian

• Progressive

• Transunion

• State Farm

Money in the form of bills or coins is

• Checks

• Cash

• Checking account

• Debit

The amount of financial trust extended to a person or business by a lender

• Debit

• Credit

• Interest

• Investment