Banking Bell ringer 2

All of the following are reasons to open a checking account EXCEPT…

• Making it easier to pay bills

• The ability to make purchases with a debit card

• Access to cash at an ATM

• Earn interest on your deposits

Which of the following is usually a benefit of being a member at a credit union?

• Higher interest rates and lower fees

• Lower interest rates and higher fees

• Higher interest rates and higher fees

• Lower interest rates and lower fees

Daisy reads her bank statement and finds an error. She should…

• Do nothing. The bank will correct the error at the end of the month.

• Call the FDIC. She is insured up to $250,000.

• Call the bank. The bank will investigate the transaction to see if it was an error.

• Assume that it’s a transaction that she made and forgot about.

Three of these statements best describe a checking account. Which statement best describes a savings account?

• This account offers a convenient way to pay bills and access cash from an ATM

• This account pays you interest on money you have put away for later to help your money grow

• This account is automatically debited when you use a debit card

• This account typically allows an unlimited number of transactions per month

You are at the checkout counter at the local supermarket and use your debit card to pay for your groceries. Where does the money for this purchase come from?

• Your credit card company covers the cost

• It is deducted directly from your checking account

• Your credit card company provides you with a cash advance to cover the cost

• It is deducted directly from your savings account

Which of the following transactions will REDUCE your checking account balance immediately?

• Writing your monthly rent check which you will mail tomorrow

• Using your debit card to pay for groceries at the supermarket

• Using your credit card to pay for your school books

• Depositing a check at a local bank branch

FDIC Insurance is...

• Optional coverage that consumers can purchase so that their bank deposits remain safe

• Insurance bank branches can buy insurance to protect their business against fraud and scams

• Required if you want to do online or mobile banking

• Protection for bank customers’ deposits up to $250,000, guaranteeing their money is still available if the bank goes out of business

How often do customers typically receive a bank statement for their checking account?

• Daily

• Weekly

• Monthly

• Annually

Fill in the blanks: Direct deposit typically refers to your ______ sending your ______ electronically to your bank account.

• bank; loan
• government; benefits
• employer; paycheck

• insurance; claims