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Financial Literacy Banking

Total questions: 13

Worksheet time: 9mins

Name
Class
Date
1.

What does a bank do for you?

a)

Keep your money safe while allowing you access to it

b)

Charge you interest on the money they keep for you

c)

Shine your shoes

d)

Give you money when you ask politely

2.

How does a bank make money?

a)

Keep some of the money you deposit in a savings account

b)

Charge interest on loans

c)

Charge a tax for depositing money

d)

Sell lollipops to gullible customers

3.

Putting money into a bank is called

a)

withdrawal

b)

interest

c)

deposit

d)

cashier's check

4.

A bank can charge a fee for

a)

withdrawing money in certain ways

b)

overdrafts

c)

filing loan papers for a mortgage

d)

All of the above

5.

A mortgage is a loan for

a)

a car

b)

a college education

c)

real estate

d)

a business plan

6.

If you write a check for $100 but you only have $50 in your account...

a)

no one will care until the check comes to the bank

b)

you have just overdrafted your account

c)

you need to make a deposit before the check comes to the bank

d)

all of the above

7.

matching your checkbook balance with the bank's balance is called:

a)

paying bills

b)

calling a loan

c)

reconciliation

d)

overdrafting

8.

A bank charges fees for overdrafts. How can they make the most money on these fees?

a)

Process the biggest checks first in a daily batch

b)

Pay all the checks they can before charging monthly fees they charge every month

c)

Call and ask if it's ok that they charge you

d)

Process only the checks you have money for

9.

A bank is a public service

a)

true

b)

false

10.

A bank can charge any interest rates they want, maximizing profit

a)

true

b)

false

11.

The piece of paper you need to deposit cash to add that money to your account is:

a)

a check

b)

a withdrawal slip

c)

a deposit slip

d)

a lien

12.

Doing this will affect your checking account balance at the bank immediately

a)

using the ATM to withdraw cash

b)

writing a check to pay your landlord

c)

depositing a check at the bank's drive-up window

d)

using a credit card

13.

This will affect your bank balance whether or not you are aware of when it happens

a)

direct deposits and automatic withdrawals

b)

your landlord deposits your check into his account

c)

monthly bank fees, overdraft fees, low balance fees

d)

All of the above