Banking and Payment Types

What does the term Annual Percentage Rate (APR) refer to?

• The interest rate on credit
• The regular fee paid for a credit card
• A method commonly used to calculate credit balance
• The total amount you can charge to a credit card

What term refers to the amount you have charged to a credit card but not yet paid for?

• Balance
• Annual Fee
• Transfer Fee
• Rewards Points

Which of the following is not a technique credit card companies use to encourage people to apply for a credit card?

• Introductory APR
• Rewards Program
• Low APR Balance Transfers
• High Annual APR

Which payment method would be the best choice for the following scenario:
You need are going to purchase a new car which costs $20,000.  You will use the money you have in a bank savings account.

• Debit Card
• Credit Card
• Cashier's Check
• Traveller's Check

Which payment method would be the best choice for the following scenario:
You are purchasing groceries from Kroger.  You have a checking account that has sufficient funds to cover the cost.

• Debit Card
• Credit Card
• Cashier's Check
• Money Order

Which payment method would be the best choice for the following scenario:
You need to purchase a new Air Conditioning unit for your house.  You do not have the funds available currently to cover the full cost.  You will need to pay in installments.

• Debit Card
• Credit Card
• Cashier's Check
• Money Order

What is the Central bank of the United States?

• The Federal Reserve

• The US Treasury Department

• The Securities and Exchange Commission

• Bank of America

How much money does the FDIC insure your bank account for?

• $10,000

• $25,000

• $100,000

• $250,000

A common financial service used by many consumers.  They can help to manage money and make paying bills more convenient.

• Reconciling
• Check
• Checking Account
• PIN

Debit cards require using this to access the account to perform transactions.

• ATM
• PIN
• Check register
• Checking account