Chapter 8 Personal Finance Quiz

Some of the services banks offer include . . .

• Paying off your student loan debt and saving for your future

• Creating a personalized budget for you and managing your schedule

• Teaching you how to handle your finances and encouraging you to cut up your credit cards

• Mortgages, check writing, and debit cards

A savings account is for ____________.

• Investing your money

• Regular spending

• Long-term savings goals

• The Entertainment budget line item

The Federal Deposit Insurance Corporation (FDIC) and National Credit Union Administration (NCUA) keep your money in the bank insured up to ________ per account.

• $250

• $2,500

• $25,000

• $250,000

Credit Unions differ from retail banks in that they typically require membership based on specific criteria.

• True

• False

Your emergency fund should go in your checking account, NOT a money market account.

• True

• False

If you see "pending" on an account charge, that means . . .

• You need to make a deposit before it is paid

• The payment was declined

• It hasn't been fully processed yet

• It is suspected of being a fraudulent charge

A debit card, ATM access, payroll direct deposit, and checks are basic features of ____________.

• A money market account
• Online banking
• A savings account
• A checking account

If you see a charge you don't recognize, you should report it to your bank immediately.

• True

• False

With online banks, all of your deposits, transfers, and bill payments happen digitally, but . . .

• Online banks should never be trusted

• These banks do not offer interest on savings accounts

• It's often more difficult to get in touch with a real person when you need assistance

• They do not provide a debit card

With certificates of deposit (CDs), you have to pay a penalty for ____________.

• Withdrawing your money early
• Depositing money into the account
• Creating a savings account
• Using an ATM