Learning aim A

Define what is meant by a debit card

• Notes and coins in a wide range of denominations

• Issued by banks to delay payments for goods and services

• Issued by banks with payments coming from a current account

• Money preloaded onto a card

What is meant by a charge card?

• Allows customers to delay payment for goods and services with the balance paid off in full each month

• Allows customers to pay in instalments

• A card which is linked to a current account on which you can have an overdraft

• A card which is issued by retailers which allows customers delay payments. Interest is charged on balances

What am I? A system that allows the transfer of payments from one bank account to another in 3 working days

• Contactless

• Mobile banking

• CHAPS

• BACS

Which of the following is NOT an example of a current account?

• Standard

• ISA

• Basic

• Student

Which of the following is a common feature of a student account?

• Concierge service

• Monthly fee

• Interest free overdraft

• No access to mobile banking

What does ISA stand for?

• Individual Savings Account

• Internet Savings Account

• Independent Savings Account

• Interest-free Savings Account

Which of the below is a benefit of a cash ISA?

• There is a higher interest than for a stocks and shares ISA

• Interest is tax-free

• Money must stay in the account for 3 years

• A minimum investment is required

Which of the below is not a source of borrowing?

• Overdraft

• Personal loan

• Hire purchase

• Current account

Define what is meant by a bond or gilt?

• A government scheme aimed at getting individuals to save

• Investments in a business in return for equity

• Fixed term securities where the individual lends money to companies in return for interest

• A tax free way to save

Which of these is NOT a function of money?

• Means of exchange

• Store of value

• Unit of account

• Interest rate