Unit 3 - Paper B

When buying two items on a (buy-one-get-one-free) offer, how much of a saving will there be on the usual price per item?

• 25%.

• 50%.

• 75%

• 100%

Why must a budget be flexible?

Because:

• a person's salary is usually unknown

• income tax rates often change on a monthly basis.

• someone's utility bills can change dramatically each month

• unexpected things may happen.

Which of the following is one of the financial services regulators in the UK?

• Bank of England

• British Bankers' Association

• Financial Conduct Authority

• Financial Services and Markets Authority

A car insurance company receives money in the form of which of the following?

• Dividends

• Fees.

• Interest.

• Premiums.

Which of the following policies will pay out an agreed sum of money when the policyholder dies, and provides cover for the policyholder's lifetime?

• Critical illness.

• Ill health protection

• Term assurance

• Whole-of-life

The Financial Services Compensation Scheme does not cover which of the following?

• Deposits.

• Investments.

• Mortgages.

• Overdrafts.

Which of the following is the most likely cause of overspending?

Not having enough:

• credit to get a mortgage

• expenditure to use as income

• income to meet bills.

• savings to plan for retirement.

Louise has contacted her bank which has agreed to lend her some money using an overdraft.

This is an example of:

• a fixed overdraft.

• a voluntary overdraft

• an arranged overdraft

• an authorised overdraft

A person would find it the most difficult to obtain credit from a financial services provider if they had which of the following?

• A low balance.

• A part-time job

• An unpaid county court judgment

• No credit history.

Maggie has been experiencing financial difficulties.

Which of the following would be the best for her to go to for financial help?

• A friend of the family

• Citizens Advice

• The Financial Conduct Authority

• The Samaritans