FIN LIT Final Exam Review Part IV: BANKING

Pete sets aside $50 each month from his earnings to have money for a car down payment. Of the following choices, what is the best way for him to store the money each month until he meets his goal for a down payment?

• a. Keep the money in a good hiding place at home so it doesn’t get stolen.
• b. Deposit the money into his savings account.
• c. Deposit the money into his checking account.
• d. Purchase another share of his favorite stock.

What is one benefit to using a checking account that is not a benefit of using a savings account?

• a. interest earned
• b. insured deposits
• c. electronic deposits and withdrawals
• d. proof of payment

After you write and sign your check, who can legally cash the check?

• a. you and the payee
• b. the bank or credit union and the payee
• c. any family member of the payee
• d. only the payee

Who is responsible for confirming your bank account balance?

• a. the stores where you made the purchases from the account
• b. your bank or credit union
• c. you
• d. the debit card company

You have searched everywhere for your debit card. You think it may have been stolen. Of the following actions, what is the best thing to do now?

• a. Wait at least 90 days to report the card as missing or stolen in case you find the card.
• b. File a report with the Federal Trade Commission.
• c. Close your bank account.
• d. Notify the company that issued your card.

You can do all of the following with online banking except which of the following banking actions?

• a. Check your account balance.
• b. Deposit a paycheck to your account.
• c. Buy concert tickets.
• d. Receive alerts when your account information has been changed.

You can do all of the following with mobile banking except which of the following banking actions?

• a. Get $40 cash from your account.
• b. Deposit a paycheck to your account.
• c. Receive alerts when your account information has been changed.
• d. Transfer money from one of your accounts to another.

You can do all of the following at an ATM except which of the following banking actions?

• a. Check your account balance.
• b. Get $40 cash from your account.
• c. Deposit a paycheck to your account.
• d. Transfer money from your account to someone else’s account.

Which of the following would be a good reason to use online banking?

• a. A college student attends school out of state in Minnesota but her bank is in Colorado.
• b. Your online accounts will earn more interest than your other accounts.
• c. You won’t have any fees.
• d. You have trouble keeping track of check payment transactions.

If you use a credit card to buy something online from the Internet, look for the following on the website page's URL:

• 
• b. “SECURE”
• c. “APPROVED BY THE FEDERAL TRADE COMMISSION”
•