Certificate of Deposit Quiz

What is another term used for certificate of deposit account?

• Time Deposit Account

• Money Market Account

• Checking Account

• Saving Account

A certificate of deposit can vary from what to what?

• 1 month - 10 years

• 3 months - 1 year

• 3 months - 10 years

• 3 weeks - 10 years

Additional deposits can only be made ​ (a)   ​

• after the maturity date
• any time during the term
• once per year
• never

When can the principal not be withdrawn?

• Within the grace period

• Before maturity date

• At maturity date

What are the interest payment options for a CD?

• A transfer to an internal savings or checking account

• A check mailed to customer's address

• Posted to principal balance of CD

• Reissued certificate with new renewal information

The Grace Period on a CD is ​ (a)  

• 7 calendar days
• 7 business days
• 14 calendar days
• 14 business days

What is the penalty imposed for early withdrawal from a CD with a term 12 months or more?

• 180-day interest penalty

• 4 months Interest penalty

• 10 months interest penalty

• 90-day interest penalty

What is the minimum amount required to open a certificate of deposit?

• $1000

• $100

• $750

• $500

What are some features of a Certificate of Deposit account?

• Withdrawals allowed prior to maturity date

• Interest payment options include having a check cut and mailed

• A notice of maturity is mailed 30 days prior to maturity date

• Interest is compounded daily and posted quarterly

Under what circumstances is the interest penalty waived?

• Certificate of deposit closed before maturity

• Early withdrawal of interest

• No circumstances

• Death or disability of the account owner