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Worksheets

Banking and Financial Services

Total questions: 25

Worksheet time: 19mins

Name
Class
Date
1.

You can store valuables at a bank by purchasing the use of a

a)

safe deposit box

b)

post office box

c)

padlock box

d)

strong box

2.

6. Almost ___________________ percent of U.S. banks are FDIC members.

a)

50

b)

90

c)

75

d)

99

3.

This nondeposit financial institution specializes in making loans for long-lasting or durable goods, such as cars and refrigerators, and for financial emergencies.

a)

consumer finance company

b)

pawnshop

c)

credit union

d)

investment company

4.

Which of the following is NOT a deposit institution?

a)

mutual savings bank

b)

commercial bank

c)

check-cashing outlet

d)

savings and loan association

5.

The paying of checks among different banks in different cities is called

a)

clearing

b)

reserving

c)

kiting

d)

bouncing

6.

Mutual savings banks are organized mainly for

a)

business loans.

b)

check cashing.

c)

automobile loans.

d)

savings and home loans.

7.

Except for some retirement accounts, the FDIC insures all accounts in the same name at each bank up to an amount of

a)

$2,500.

b)

$25,000.

c)

$250,000.

d)

$2,500,000.

8.

Which type of checking account is probably the best choice

for someone who writes many checks per month?

a)

interest-earning checking account

b)

activity checking account

c)

regular checking account

d)

special checking account

9.

An interest-earning checking account

a)

usually requires a lower monthly balance than regular checking accounts.

b)

generally pays very high interest rates.

c)

is a good choice if you are depositing a large amount of money.

d)

usually earns interest only if the account stays above the required amount.

10.

You use a ____________________ card for ATM transactions.

a)

debit

b)

credit

c)

smart

d)

stored-value

11.

When you put money into your checking account, you will fill out a

a)

check stub

b)

check register

c)

signature card

d)

deposit slip

12.

Zack has endorsed a check by writing “For deposit only” above his signature. This is a

a)

restrictive endorsement.

b)

blank endorsement.

c)

full endorsement.

d)

special endorsement.

13.

The person to whom a check is written is the

a)

drawer

b)

payee

c)

endorser

d)

drawee

14.

A personal check for which a bank has guaranteed payment is called a

a. banker’s check.

b. cashier’s check.

c. certified check.

d. traveler’s check.

a)

banker's check

b)

cashier's check

c)

certified check

d)

traveler's check

15.

This type of money order is typically issued by travel agencies, supermarkets, pharmacies, and convenience stores.

a)

express money order

b)

bank money order

c)

postal money order

d)

telegraphic money order

16.

The Federal (a)   System supervises and regulates member banks and helps

banks serve the public efficiently.

17.

A user-owned, not-for-profit cooperative financial institution is called a(n) (a)  

union.

18.

The Federal Deposit (a)   Corporation protects depositors’ money in case of the

failure of a bank or financial institution it regulates.

19.

Electronic funds (a)   refers to the use of computers and other technology for

banking activities.

20.

When customers ask banks to manage investments on their behalf, the money or property that is turned

over for the bank to manage is said to be held in (a)   .

21.

A(n) (a)   is written evidence that you received payment or that you transferred

your right of receiving payment to someone else.

22.

Checks that have not yet been deducted from your bank statement balance are called

(a)   checks.

23.

In a point-of- (a)   transaction, a merchant accepts a debit card to pay for

purchases.

24.

A(n) (a)   makes loans based on the value of some tangible object, such as

jewelry or other valuable items.

25.

Commercial banks are often called (a)   -service banks because they offer a

wide range of financial services.