Banking Basics

Which of the following is NOT a common feature of a financial institution?

• A. Access to investment products

• B. Paper checks

• C. Access to ATMS

• D. Direct deposit

Which of the following is NOT a common feature of a financial institution?

• A. Access to ATMs

• B. Investment Trading

• C. Direct deposit

• D. Debit cards

Which of the following is NOT a common feature of a financial institution?

• A. Direct deposit

• B. Paper checks

• C. Access to investment advice

• D. Checking and savings accounts

Which type of bank account typically offers the least (if any) interest?

• A. Checking account

• B. Savings account

• C. Money market account

• D. Certificate of deposit

Savings accounts typically offer more interest than what type of account?

• A. Retirement account

• B. Money market account

• C. Checking account

• D. Certificate of deposit

Which type of bank account is best for everyday transactions?

• A. Checking Account

• B. Savings Account

• C. Money Market Account

• D. Certificate of Deposit

How can you avoid spending more than what is in your bank account?

• A. Check your bank statement once a month.

• B. Ask your financial institution to notify you when you are close to $0 in your account.

• C. Keep your own records to compare with your financial institution's records.

• D. None of the above

Which of the following statements about investing is TRUE?

• A. On average, putting money in a savings account earns a higher return than investing money in the stock market.

• B. Investing is riskier than putting money in a savings accounts.

• C. Investing is best for short-term financial goals.

• C. Investing is best for short-term financial goals.

Investing is best for ________.

• A. short-term financial goals, like building an emergency fund

• B. earning a little interest while keeping your money safe

• C. long-term financial goals, like paying for retirement.

• D. guaranteed fast growth on your money

A stock is ________.

• A. A type of debt investment that acts like a loan.

• B. A type of investment that invests in a mix of different types of investments.

• C. A share of ownership in a company.

• D. A type of savings account that pays interest based on current interest rates in the money market.