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Recap - Banking

Total questions: 21

Worksheet time: 21mins

Name
Class
Date
1.

After how many days of waiting for your complaint to be resolved by the firm can you contact the FSPO?

a)

5

b)

40

c)

100

d)

14

2.

The ______ limit requires you to have a minimum deposit before you can get a mortgage. The size of this deposit depends on what category of buyer you are.

a)

LTV - Loan to Value

b)

LTI - Loan to Income

3.

1.What is the normal time limit for submission to the FSPO of a complaint that does not relate to a long term financial service or a life assurance policy?

a)

4 years

b)

1 year

c)

6 years

d)

2 years

4.

When going to the FSPO you will be always entitled to compensation

a)

True

b)

False

5.

Prudential requirements ensures that ....

a)

Your treated fairly when you buy a financial product or service

b)

Firms hold sufficient capital for its business needs

c)

Consumers can borrow any amount of money from firms whenever they like

d)

Firms have proper authorization(licence) to provide financial services

6.

Why is financial regulation important?

a)

Consumer Protection

b)

Financial Stability

c)

Market Confidence

d)

All above answers

7.

A credit union is a group of people, connected by a common bond' eg. based on the area they live in, the occupation they work in, or the employer they work for, who save together and lend to each other at a fair and reasonable rate of interest

a)

True

b)

False

8.

Who regulates the financial industry in Ireland?

a)

League of Credit Unions

b)

Central Bank of Ireland

c)

Your local county council

d)

Minister for Finance

9.

Mary is a business owner and is owed €5,000 by a previous client for a completed project, the invoice has payment terms of 30 days. Recommend an appropriate lending category for Mary to ensure smooth running of the business while waiting for invoices to be paid..

4 lines
10.

Conduct of business rules ensures that....

a)

Firms have proper authorization(licence) to provide financial services

b)

Those working in the the industry can make up their own rules/ regulations

c)

Your treated fairly when you buy a financial product or service

d)

Firms hold sufficient capital for its business needs

11.

The below are examples of standard IBANs in Ireland -

AIBKIE2D or BOFIIE2D

a)

True

b)

False

12.

Mary is starting her first job and will be getting paid a weekly salary. She will need to have access to the salary in order to pay for bills such as groceries in store and utilities online.

 

What financial product will Mary require in order to facilitate her payments paid in and also out?

(a)  

13.

What method does the FSPO use first in resolving a complaint?

a)

Investigation

b)

Mediation

c)

Resolution

d)

Meditation

14.

The _____ limit restricts the amount of money you can borrow to a maximum of 3.5 times your gross income.

a)

LTI - Loan to Income

b)

LTV - Loan to Value

15.

When you first apply for a mortgage you can get a letter from a lender showing the amount they could lend you, based on some initial information given and initial checks made.

This is called (a)  

16.

In Ireland, the IBAN consists of 22 alphanumeric characters.

a)

True

b)

False

17.

What two insurances am I required to take out when taking out a mortgage?

a)

Mortgage protection

b)

Motor insurance

c)

Home insurance

d)

Contents insurance

18.

Business line of credit is a flexible way to help you manage your business seasonal working capital throughout the year. It is pre planned by you..

a)

True

b)

False

19.

A 'variable' rate has a rate of interest which doesn’t change for a set period of time, so you know exactly how much you pay every month

a)

True

b)

False

20.

List 1 pro and 1 con of both a variable and fixed interest rate

4 lines
21.

What is 'hire purchase'?

4 lines