Checking Accounts

When you use your debit card, the money for the purchase comes from . . .

• The credit card company

• A cash advance

• Deducted from your credit card account

• Deducted directly from your checking account

Which is NOT a way to access money in a checking account?

• Using your debit card at an ATM machine

• Using your debit card to pay for groceries at a POS terminal

• Swiping a pre-paid card to make a purchase

• Writing a check to pay your rent

Joe gets an alert on his phone from his bank stating his balance has dropped below $150 after a series of ATM transactions. He hasn't used his ATM card in over two weeks. What should he do?

• Give it a week, it is common for banks to catch and rectify errors like this

• Contact his bank immediately as his account may have been hacked

• Check his wallet to see if his debit card was stolen. If it wasn't, he has nothing to worry about.

• Wait for his monthly bank statement to see if the transactions are still there

Jill just got a part time job to help pay for her tuition bill. Her first tuition payment is due on the 5th of the month, no exceptions. She gets her first paycheck on the 3rd of the month. More than one late payment and she will receive a large late fee. What would you recommend to her?

• Use her lunch break at work to run to the check cashing store. Hopefully she won't be late returning to work.

• Deposit her paycheck through her mobile app, then withdraw the money from the ATM, hoping the check has cleared in time and the funds are available.

• Sing up for overdraft protection and not worry whether the funds are available or not.

• Sign up for direct deposit so the money is in her account the morning of the 3rd.

When would you use a person to person payment?

• To tip your hairdresser/barber

• To pay for a new hoodie online

• To repay your sister who lent you money

• To pay your phone bill to Verizon

When writing a check,

• Record the check and amount into your check register asap

• Write quickly so no one can forge your handwriting

• Leave the "to" field blank so no one else can cash it.

• Use a pencil so you can erase any errors

Shane's rent payment is due the 15th of every month. His landlord lives an hour away. If Shane want to be responsible and efficient with his time, what should he do?

• Set up a day in his calendar to hand deliver the payment.

• Ask his employer to set up direct deposit.

• Set a text alert reminding him to write a check and mail his payment by the 14th of each month

• Set up an online auto bill payment for his rent to his landlord

Which of the following will reduce your bank account balance IMMEDIATELY?

• Depositing your paycheck at your local branch

• Using your debit card to pay for Moe's

• Using your credit card to pay for new shoes online

• Writing a check for your auto loan payment

With your new checking account, you deposit $25 and you sign up for overdraft protection. You go out and use your debit card to pay for breakfast ($6), gas for your car ($30), and a new hoodie ($40). What will happen?

• You will have to pay back the amount overdrawn plus any overdraft fees or charges

• The bank will give you one week to deposit new funds to cover the amount you overspent.

• The bank will not allow you to overdraw your account so the transactions would be cancelled.

• The bank will close your account

Which of the following is the most convenient feature of online and mobile banking?

• You can shop online only if you've set up online banking

• By signing up for online banking, you will activate the FDIC insurance on your account

• Using online banking, you can request transfers, bill pay, automatic savings, and other features without visiting the bank branch

• Once you set up online banking, your bank will waive overdraft, ATM, and monthly fees