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WorksheetsFin.Lit.-Chap.7-Banking
Total questions: 20
Worksheet time: 10mins
This is an independent agency that protects bank deposits, promotes consumer advocacy, and insures deposits.
Finance Direct Insurance Company
Federal Deposit Insurance Corporation
Finance Department in Commerce
What is the maximum amount of money insured per depositor at a bank?
$100,000
$250,000
$10,000
$25,000
Anyone can use a check cashing service to cash checks.
True
False
Check cashing services are usually free.
True
False
Which one is a "Depository" Institution?
Life Insurance Companies
Investment Companies
Finance Companies
Commercial Banks
Which type of account has these 3 benefits: good rate of return, some check writing, and is insured. But, it also requires a minimum balance.
Regular savings accounts
Certificates of deposit (CDs)
Money market accounts
U.S. Savings Bonds
Which type of account has these 3 benefits: low minimum balance, ease of withdrawal, and is insured. However, the drawback is a low rate of return.
Regular savings accounts
Certificates of deposit (CDs)
Money market accounts
Which type of account has these 3 benefits: guaranteed rate of return for time of CD and is insured. However, 2 drawbacks are: possible penalty for early withdrawal and minimum deposit.
Regular savings accounts
Certificates of deposit (CDs)
Money market accounts
Banks offer only one choice of checking account, called a "regular checking account".
True
False
There are 4 things you need to consider when evaluating what Type of Checking Account (not the Bank) to choose: Restrictions, Interest, Special Services, and _____________?
Fees and Charges
Color of your checks
Deposit slips
Direct Deposit
If a check is lost or stolen, you can ask the _____________ to issue a stop-payment order.
neighbor
post office
bank
boss
This allows you to see and update your checking account balance as you withdraw or deposit money into your account.
Bank statement
Bank reconciliation form
Check register
Deposit slip
Use a bank reconciliation form to determine your true __________________.
savings
balance
deposits
purchases
Which is NOT a category of Financial Services?
Savings
Payment Services
Borrowing
Market Research
Direct Deposit saves time, money, effort but it is not safe.
True
False
With Automatic Payments, you need to make sure there are sufficient funds in your account.
True
False
ATMs are used with a debit card. The debit card is used with a 4 digit personal code which is called a:
PIN
ATM
IBM
FBI
Financial institutions cannot charge fees for using ATMs.
True
False
Which is NOT considered a Deposit Institution?
Commercial Banks
Credit Unions
Life Insurance Companies
Pawn Shops usually give you the true monetary ($) value for your item.
True
False
