Unit 3 Debit & Credit Assessment

An example of a financial institution is:

• Department Store

• Bank

• School

• ATM Machine

Who uses financial institutions?

• Adults

• College Graduates

• Almost everyone who maintains a checking or savings account, uses debit or credit cards.

• Account holders with lots of cash

A way to view account activity, pay bills via the internet is known as:

• credit union

• mobile banking

• financial intuitions

• online banking

Which of the following is an incorrect statement?

• Debit & Credit card allows for electronic transfer of money from checking or savings account.

• Debit card is a paper check but doesn't require the processing time a check does.

• A debit card is handy in an emergency when you don't have the money to spend.

• A debit card is a pay now payment type with no grace period for payments.

One safety tip for keeping your account safe when banking online would be to:

(a)  

A bank is not a for profit financial institution.

• True

• False

You order your favorite sandwich with chips & a drink using your debit card. The total comes to $5.68. Your online statement shows a charge of $40.68. The extra amount is an overdraft fee.

• True

• False

A credit card provides preapproved credit.

• True

• False

Internet banking means using a bank to branch to make deposits & withdrawals.

• False

• True

The lower an applicant's credit score, the lower the risk to the lender.

• True

• False