PF (1)

How do the fee structures of banks typically compare to those of credit unions?

• Credit unions offer higher fees than banks

• Both charge similar fees

• Banks charge lower fees than credit unions

• Banks may charge higher fees than credit unions

What is a common benefit of using credit unions over banks?

• More credit card options

• More ATMs nationwide

• Better interest rates on loans

• Greater anonymity in transactions

In which aspect do banks generally outperform credit unions?

• Lower fees

• Higher interest rates on savings

• Better customer service

• More up to date technology

What is a primary advantage of online banks compared to brick-and-mortar banks?

• Lower fees and higher interest rates on savings

• Access to physical branches for in-person assistance

• More loan options for small businesses

• Easier access to safety deposit boxes

What is a disadvantage of using online banks?

• Lower interest rates on savings

• Lack of physical branches for face-to-face assistance

• No ability to transfer money electronically

• Higher fees for account maintenance

Which feature is typically more associated with brick-and-mortar banks?

• Nationwide access through apps

• No monthly maintenance fees

• Personal relationships with bank staff

• Fully automated customer support

You have a savings account at SoFi that earns 4% interest per year. If you have $20,000 in that savings account, how much interest will it accrue in 1 year?

• $400

• $800

• $5,000

• $8,000

What is a primary feature of a joint bank account for minors?

• The minor has sole control over the account.

• Both the minor and the co-owner (typically a parent or guardian) have access to the funds.

• The minor earns a higher interest rate than standard accounts.

• The account can only be used for education-related expenses.

What distinguishes a custodial account from other accounts for minors?

• The minor has full control over the account at any age.

• The account earns higher interest than a savings account.

• The funds in the account can only be used for emergencies.

• The account is managed by an adult until the minor reaches the age of majority.

Why might a parent open a joint account with their minor child?

• To prevent the child from accessing the funds until adulthood

• To provide the child with a higher interest rate on savings

• To give the child access to loans

• To monitor the child's financial habits