Savings & Investment Options

What is the maximum amount insured by the FDIC for a savings account?

• $1,000,000

• $500,000

• $100,000

• $250,000

Which type of account allows you to withdraw funds at any time without penalty?

• Certificate of Deposit

• Savings Account

• Bonds

• Stocks

What is a characteristic of a Certificate of Deposit (CD)?

• Unlimited withdrawals

• No minimum deposit

• High risk

• Higher interest rates than savings accounts

Which type of account typically offers check-writing privileges?

• Bonds

• Certificate of Deposit

• Money Market Account

• Savings Account

What is a key feature of bonds?

• They represent ownership in a company

• They offer check-writing privileges

• They are insured by the FDIC

• They are essentially an IOU

What is the risk level associated with stocks?

• Medium to high risk

• Guaranteed returns

• Low risk

• No risk

What do mutual funds invest in?

• A collection of stocks or bonds

• Cryptocurrency

• Real estate

• Commodities

Which investment type is described as having medium risk?

• Certificate of Deposit

• Money Market Account

• Bonds

• Savings Account

What is a potential disadvantage of cashing in bonds before maturity?

• Higher interest rates

• Unlimited withdrawals

• Loss of principal

• No dividends

Which type of account is subject to federal regulation limiting certain withdrawals?

• Savings Account

• Certificate of Deposit

• Stocks

• Money Market Account