W!se Banks and Banking Quiz

Which financial institution typically offers lower loan interest rates?

• Banks

• Credit Unions

• Investment Firms

• Insurance Companies

What are some services that both banks and credit unions offer?

• Checking and Savings Accounts

• Only Checking Accounts

• Only Savings Accounts

• None of the above

Which organization insures banks in the United States?

• NCUA (National Credit Union Association)

• FDIC (Federal Deposit Insurance Corp.)

• SEC (Securities and Exchange Commission)

• FINRA (Financial Industry Regulatory Authority)

What is one advantage credit unions generally have over banks?

• More ATM locations

• Better interest rates on savings accounts

• More checking account options

• Higher fees

Which financial institution is typically better for checking account needs?

• Credit Unions

• Banks

• Investment Firms

• Insurance Companies

What is a savings account?

• A type of loan account

• An interest-paying deposit account

• A checking account

• A credit card account

How many withdrawals are allowed from a savings account each month according to federal law?

• 4

• 6

• 8

• 10

What is liquidity?

• The interest rate of a savings account

• How easily an asset or investment can be converted into cash

• The amount of money in a savings account

• The risk level of an investment

Do savings accounts present high or low liquidity?

• Low

• Medium

• High

• No liquidity

What does the Federal Deposit Insurance Fund (FDIC) insure?

• Credit Unions

• Mutual Funds

• Banks

• Life Insurance