Finance test 2

Cash is that insured by the FDIC , it is when

• It is in an account

• It’s used for insurance

• It’s given to charity

• It surpasses $12,950

Savings accounts differ from checking accounts in that:

• Savings can be withdrawal for an unlimited amount of times

• Checking’s accounts have interest

• Money in a savings account can be used to fund a banks loan

FDIC stands for:

Why do you need a checking account?

• Safety and protection

• Convenient and free check cashing, and free bill pay

• Debit card convenience

• Budgeting tool

• The bank gives you updates and provides interest rates on checking accounts

Ways to protect account

• Allow trusted individuals to access account

• Check account regularly

• Sign up for account alerts

• Don’t keep information in your phone

People who are in banks are most likely to

• Keep money safe from banking scams

• Incurred lots of fees at checking, cash storage to access their money

• Not be scammed

• Get free college scholarships

What are benefits of direct deposit?

• Gives depositing fee to the depositie

• Employer is more likely to give bonuses

• Insurance covers the check

• You don’t need to spend time and energy depositing a check

P2P payment stands for

Three reasons to save money

• Save for retirement

• Save for taxes

• Save for emergency fund

• Save for down payment

Sinking funds are

• Money set in a savings account that decrease in value because of lack of interest rate

• Money, set aside for the future known expenses

• Money, set aside for emergency funds

• Money for recreational use