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Banking at Carver

Total questions: 32

Worksheet time: 35mins

Name
Class
Date
1.

What is interest?

a)

Something you do not have in economics

b)

The money corporations pay to their stockholders

c)

To set aside income for a period of time so that it can be used later

d)

The payment people receive when they lend their money or allow someone else to use their money

2.
Payment made for the use of borrowed money is called
a)
Financial Institution
b)
Creditors
c)
Interest
d)
Secured
3.
Who pays interest on a loan
a)
a lender
b)
 a borrower
c)
a credit union
d)
a creditor
4.

Banks provide which of the following EXCEPT

a)

debit cards

b)

loans

c)

check writing services

d)

government subsidies

5.
A credit union...
a)
is a financial institution that focuses on taking deposits and using them to fund mortgages.
b)
is a non-profit institution owned by its members and provides financial services to its members.
c)
offers a broad range of deposit account and gives loans to individuals and businesses. 
d)
is a financial institution for students only
6.

Piece of ownership in a company, mutual fund or other investment

a)

Share/stock

b)

401K

c)

Bond

7.
Persons or institutions to whom money is owed
a)
Financial Institutions
b)
Interest
c)
Creditors
d)
Collateral
8.

Money added into a bank account.

a)

withdraw

b)

deposit

c)

cash

d)

cheque

9.

Commercial banks earn money in all of the following ways EXCEPT:

a)

Investing in other companies

b)

Charging fees for their services

c)

Collecting interest on loans

d)

Taking a percentage off of all deposits

10.

Who owns a credit union?

a)

its members

b)

investment bankers

c)

the government

d)

commercial banks

11.

Which of the following is NOT a service a bank provides

a)

It makes loans to other customers.

b)

It provides credit cards for its customers

c)

Customers can deposit and withdraw money from their accounts

d)

Helps you loan money to your friends

12.

Which is a good reason to use a Financial Institution?

a)

Putting your allowance in a safe place

b)

Lending your friend $5

c)

Borrowing money to buy a new toy

13.

Which of the following is NOT a good reason to use a financial insitution

a)

Borrowing money for college

b)

Placing your birthday money in an account

c)

Letting your friend borrow $10

d)

Taking out a loan to purchase a home

14.
Which of these is NOT provided by a financial institution such as a bank or credit union? 
a)
lending money to people and businesses
b)
paying you interest on money in your savings account
c)
keeping money safe
d)
paying your bills
15.

Lucy wants to deposit her weekly allowance into a savings account. What is one good reason to to put her money in a savings account?

a)

it is hard to withdraw and deposit money into it

b)

it pays interest

c)

the money can be lost or stolen

d)

you must have a lot of money to open a savings account

16.
A card that uses money directly from your bank account
a)
Debit Card 
b)
Credit Card 
c)
Pokemon Card 
d)
Baseball Card 
17.
What does the word DEPOSIT mean in regards to money and banks.
a)
to put money or other valuables in a safe place
b)
to spend
c)
to save
d)
to take money or valuables out of a safe place
18.
Which of the following will a bank provide?
a)
Keep your money safe
b)
Pay your bills
c)
Put money into your account
d)
Balance your checkbook
19.

When you pay back a loan, you not only pay the amount you borrowed, you also pay it back with _____________

a)

Interest

b)

Deposit

c)

Withdrawal

d)

Checking

20.

Examples of these types of banks are Wells Fargo, Chase, and Regions

a)

commercial banks

b)

credit unions

c)

charters

21.

an independent agency created by the federal government to protect bank customers by insuring their deposits

a)

Federal Deposit Insurance Corporation

b)

Financial Depository Insurance Company

c)

Financial Department of Insurance Corporation

22.

Two types includes mutual savings and loan associations and stock savings and loans association

a)

credit unions

b)

savings and loans associations

c)

commercial banks

23.

a non profit financial cooperative owned by and operated for the benefit of its members; services offered only to its members

a)

credit union

b)

commercial bank

c)

savings and loans associations

24.

the movement of money electronically from one financial institution to another

a)

electronic funds transfer

b)

electronic financial transitioning

c)

automated teller machine

25.

service offered by most banks and credit unions that requires a Personal Identification Number (PIN) to check account balances, make cash withdrawals and deposits, and move money from one account to another.

a)

electronic funds tranfer

b)

electronic financial transitioning

c)

automated teller machine

26.

also called a check card, allows you to make purchases by swiping your card through a point of sale(POS) terminal that is usually located at the merchant’s checkout counter

a)

debit card

b)

credit card

c)

ATM card

27.

a check written for an amount greater than the balance of the account

a)

overdraft

b)

overspend

c)

fraud

28.

a written order for the bank to pay a specific amount to a person whom the item is written

a)

check

b)

money order

c)

deposit slip

29.

Choose two answers.


Jeff wants to open a basic savings account. He should go to which two types of financial institutions to open the account.

a)

a financial services company

b)

a commercial bank

c)

an insurance company

d)

a trust company

e)

a credit union

30.

Which financial institution offers high-risk loans?

a)

financial service company

b)

savings and loan association

c)

commercial bank

d)

credit union

31.

Which financial institutions offers checking accounts?

a)

financial service company

b)

savings and loan association

c)

commercial bank

d)

credit union

32.

What are high-risk loans?

a)

loans that are given for risky home properties

b)

loans that are provided by commercial banks

c)

loans that are given to consumers with bad credit

d)

loans that are invested in high-risk stocks