Words to Know About Money

What is the primary function of the United States Treasury?

• To print and coin money

• To provide personal loans to citizens

• To regulate stock market trades

• To manage the country's parks and recreation services

Which of the following is NOT a feature of a debit card?

• Withdraws money directly from a bank account

• Allows borrowing of money up to a certain limit

• Can be used to make purchases at stores

• Requires a PIN for transactions

What is a digital transaction?

• A transaction using physical currency

• A transaction using checks

• A transaction completed online or through electronic means

• A transaction made by bartering goods

Which of the following is NOT a responsibility of a bank?

• Issuing credit cards

• Printing currency

• Holding deposits in bank accounts

• Facilitating loans

What is the difference between a credit card and a debit card?

• A credit card allows you to spend money you have, while a debit card allows you to borrow money.

• A credit card requires a PIN for every transaction, while a debit card does not.

• A debit card withdraws money directly from your bank account, while a credit card allows you to borrow money up to a certain limit.

• There is no difference; they are the same thing.

What is the term for the money that a country uses?

• Commodity

• Currency

• Barter

• Bond

Which of the following is a benefit of using a credit card?

• It automatically pays off your debt each month.

• It can help build your credit history if used responsibly.

• It withdraws money from your savings account.

• It has unlimited spending without any consequences.

What might happen if you spend more money than you have in your bank account using a debit card?

• You will receive a bonus from the bank.

• The transaction will be declined.

• You will go into overdraft, which may result in fees.

• The bank will automatically close your account.

Which of the following is true about a bank account?

• You need to be at least 21 years old to open a bank account.

• A bank account can only hold physical currency, not digital funds.

• A bank account can earn interest over time.

• You can only withdraw money from a bank account once a year.

What is the purpose of a transaction fee?

• To reward the customer for making a transaction

• To provide a discount on future purchases

• To cover the cost of processing the transaction

• To increase the amount of money in circulation