Banking Terms Quiz

What does ATM stand for?

• Automatic Teller Machine

• Account Transaction Manager

• Advanced Transaction Module

• Automated Transfer Method

What is the definition of 'Balance' in banking?

• The amount of money you owe to the bank

• The amount of money you have in your bank account

• The interest earned on a savings account

• The fee charged for using an ATM

What is a 'Certificate Of Deposit (CD)'?

• A bank product that earns interest on a lump-sum deposit that's untouched for a predetermined period of time

• A document that certifies your identity for banking purposes

• A type of credit card with high interest rates

• A form of insurance for bank deposits

What is the meaning of 'Debit' in banking?

• A sum of money deposited INTO an account

• A sum of money deducted FROM your account

• The interest earned on a savings account

• The fee charged for using an ATM

What is 'FDIC Insurance'?

• A fee charged to your account when it lacks the funds to cover a withdrawal

• Protection provided by the Federal Deposit Insurance Corporation; protects the deposits of customers against loss up to $250,000 per account

• An individual retirement account that allows a person to set aside after-tax income up to a specified amount each year

• An electronic communication that moves funds from an account in one bank to an account in a different bank instantly

What is the definition of 'Credit' in banking?

• A sum of money deposited INTO an account

• A sum of money deducted FROM your account

• The interest earned on a savings account

• The fee charged for using an ATM

What is a 'Savings Account'?

• A bank account that earns interest

• A bank account used for daily transactions

• A bank account used for business transactions

• A bank account used for international transactions

What does 'APR' stand for in banking?

• Annual Percentage Rate

• Annual Payment Rate

• Automated Payment Rate

• Adjusted Payment Rate

What is the meaning of 'Overdraft' in banking?

• A fee charged to your account when it lacks the funds to cover a withdrawal

• A sum of money deposited INTO an account

• The interest earned on a savings account

• A sum of money deducted FROM your account

What is the meaning of 'Interest' in banking?

• The fee charged for using an ATM

• A sum of money deducted FROM your account

• The amount of money you owe to the bank

• The amount a bank pays you for keeping your money in an account