Banking Knowledge Flashcard

Front

What is one key difference between banks and credit unions?

Back

Ownership structure

Front

What is often required to open a savings account?

Back

Valid photo ID and Social Security Number (SSN)

Front

Which type of insurance protects bank deposits up to $250,000?

Back

FDIC insurance

Front

What is a potential drawback of bank savings accounts? Options: High-interest rates, Unlimited withdrawals, Minimum balance requirements, No access to funds

Back

Minimum balance requirements

Front

What should you avoid when writing a check?

Back

Writing checks to 'Cash'.

Front

How can you ensure more secure check endorsements? Options: Use a blank endorsement, Use a restricted endorsement, Use a cash endorsement, Use no endorsement

Back

Use a restricted endorsement

Front

What is the monthly withdrawal limit for savings accounts using debit cards, according to regulations?

Back

6 withdrawals

Front

What should you do if your debit card is lost or stolen?

Back

Report it immediately

Front

Which of the following is true about prepaid debit cards? Options: Linked directly to a bank account, Can be used for purchases only at specific retailers, Require regular monthly fees, Offer FDIC insurance

Back

Can be used for purchases only at specific retailers

Front

What is a primary benefit of using online and mobile banking?

Back

Reduced need for physical bank visits