Financial Institutions Review

Piece of ownership in a company, mutual fund or other investment

• Share/stock

• 401K

• Bond

Money added into a bank account.

• withdraw

• deposit

• cash

• cheque

A card that uses money directly from your bank account

• Debit Card 
• Credit Card 
• Pokemon Card 
• Baseball Card 

Lucy wants to deposit her weekly allowance into a savings account. What is one good reason to to put her money in a savings account?

• it is hard to withdraw and deposit money into it

• it pays interest

• the money can be lost or stolen

• you must have a lot of money to open a savings account

What does the word DEPOSIT mean in regards to money and banks.

• to put money or other valuables in a safe place
• to spend
• to save
• to take money or valuables out of a safe place

When you pay back a loan, you not only pay the amount you borrowed, you also pay it back with _____________

• Interest

• Deposit

• Withdrawal

• Checking

Institutions such as banks that collect funds from savers that can be loaned to borrowers are known as

• financial intermediaries

• financial assets

• dividends

• Credit Unions

Which of the following is an ADVANTAGE of credit?

• No need for carrying cash
• Annual Fees
• Interest Rates

Money is withdrawn directly from a checking or savings account.

• Debit Card

• Credit Card

• Both

Each purchase is a loan that is repaid later.

• Debit Card

• Credit Card

• Both