Checking Unit Test Review

You are at the checkout counter at the local supermarket, use your debit card to pay for your groceries, and select 'credit' when the cashier asks 'Debit or credit?' Where does the money for this purchase come from?

• Your credit card company covers the cost

• It is taken directly from your checking account

• Your credit card company provides you with a cash advance to cover the cost

• It is deducted from your credit card account

A person-to-person payment would best be used in which of these situations?

• To give a donation to someone soliciting contributions outside the grocery store

• To repay your uncle who covered the cost of your first semester textbooks

• To buy some school supplies and baseball equipment while shopping online

• To give a tip to the waitress at a diner

Your friend Tammy just got a part-time job so she can afford to attend a school trip abroad later this school year. What recommendation do you have for Tammy?

• Sign up for direct deposit with her employer so that the money is already in her account the morning of the 1st

• Use her 15-minute break during work on the 1st of each month to run to the check cashing business; hopefully she doesn’t get delayed by long lines and return to work late, which will anger her boss

• Deposit the check through her mobile app on the 1st of the month and do a cash withdrawal from the ATM each month on the 2nd; hopefully the check clears in time to avoid fees

• Sign up for overdraft protection, withdraw the money from an ATM regardless of whether the funds are there in time, and just pay the $35 overdraft fee

Jocelyn gets a text alert from the bank that her account has dropped below $100 after a series of $20 ATM withdrawals. What would you recommend?

• Wait until her monthly statement arrives so she can check to see if those withdrawals are still there

• Wait a week, as it is fairly common for the bank to catch mistakes like this

• Check her wallet to be sure her debit card has not been stolen. If she still has it, then she should not worry

• Contact her bank immediately as it appears that her account may have been hacked

Each of the following is a way to access money in your checking account EXCEPT...

• Take out cash using your debit card at an ATM machine

• Use your debit card to pay for groceries at a Point-of-Sale (POS) terminal

• Write a check to pay the rent on your apartment

• Swipe a prepaid card to pay for your fast food purchase

Devon lives in a large apartment complex, and his rent is due by the first of each month to 'Richardson Rental Properties and Housing Options, LLC' which has its office 45-minutes away in downtown Houston. Which payment option makes the most sense if Devon is trying to be responsible and efficient with his time?

• Hand-deliver cash

• Set up a text alert reminder to write and mail a check by the 28th of the previous month

• Ask his employer to set up direct deposit

• Use online auto bill pay

Which of the following transactions will REDUCE your checking account balance immediately?

• Writing your monthly rent check which you will mail tomorrow

• Using your debit card to pay for groceries at the supermarket

• Using your credit card to pay for your school books

• Depositing a check at a local bank branch

Tags

CCSS.7.NS.A.1C

Which of these is the most convenient feature of using online and mobile banking?

• Once you set up online banking, your bank will waive overdraft, ATM, and monthly fees

• By signing up for online banking, you will activate the FDIC insurance on your account

• Using online banking, you can request transfers, bill pay, automatic savings, and other features without visiting the bank branch

• You can shop online only if you've set up online banking

Which action below is considered a best practice for check writing?

• Using a pencil so that you can quickly erase any errors without having to throw any checks away

• Recording all of your transactions in a check register

• Leaving the 'to' field blank until the very last minute, so that no one else can steal the check

• Writing quite sloppily in each field so that no one else can forge your handwriting

When signing up for a new checking account you answer 'Yes' to receive overdraft protection. On this day, you have $10 in your account. You go out and use your debit card to buy lunch for $12, a movie ticket for $12 and dinner for $15. What is likely to be the outcome resulting from these transactions?

• Your account would be closed

• You will likely be charged an overdraft fee for EACH transaction and also will need to repay the bank for the amount overdrawn ($29)

• Because you requested overdraft protection, the bank will not allow you to overdraw your account, so your debit card will be denied in these 3 instances

• The bank will provide you five days to add funds to your account to cover the overdraft and no fees will be assessed

Tags

CCSS.7.NS.A.1B