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Banking W!SE questions

Total questions: 24

Worksheet time: 8mins

Name
Class
Date
1.

The phrase used for putting money into a checking or savings account is:

a)

making a withdraw

b)

betting on a race

c)

making a deposit

2.

Pat has a savings account and a car loan from a not-for-profit financial institution owned by its members.  She is probably a member of a:

a)

traditional bank

b)

credit union

c)

payday lender

3.

Frankie's savings account has earned a lot of interest. He wants to know if he must pay taxes on the interest earned.


 What would the IRS tell him?

a)

You never have to pay taxes again.

b)

Savings account interest is taxable.

c)

Pay once every 10 years.

4.

If a person makes a deposit of $10,000 or more into a bank account, the bank must notify the:

a)

US Treasury Department

b)

President of the USA

c)

The person's parents

5.

How can individuals be prepared for losing their job or having a large medical expense?

a)

Invest in McDonalds

b)

Don't worry, be happy

c)

Save at least 3 months of income

6.

The financial institution where Ms. Sanchez has her 

checking account will continue to pay out money for the checks she writes as long as:

a)

there is enough money in her account to cover the amount of the checks.

b)

the FDIC covers overdraft fees

c)

she has a drivers license

7.

Joan wants to open a checking account and wonders if checking accounts pay interest.  How would you answer her question?

a)

No checking accounts EVER pay interest!

b)

Some types of checking accounts pay interest!

c)

You must pay interest on credit card debt.

8.

Banks use savings account deposits to:

a)

give loans to consumers and businesses.

b)

give money to Elon Musk

c)

retire early

9.

A person is depositing $20 in cash and a check for $50. On the checking account deposit slip, the person should:

a)

combine the 2 sums

b)

list the cash deposit separately from the check as well as the total of the deposit.

c)

just sign their name

10.

The best reason for depositing money in a bank or credit union savings account instead of keeping your money "under the mattress" is that:

a)

it will earn a rate of interest.

b)

you can place bets online.

c)

your sister can't steal it

11.

The National Credit Union Administration (NCUA) insures accounts in a:

a)

Progressive Insurance

b)

stock market

c)

credit union

12.

Employees prefer direct deposits because:

a)

It takes longer to be deposited in their checking account.

b)

Money is deposited in their checking account SOONER!

c)

it's free money!

13.

When a person is reconciling a checking account and notices that the balance in the checkbook does not match the balance on the statement, which action should the person to take first?

a)

Determine that checks already written have cleared.

b)

Close their checking account

c)

Call the bank manager and complain

14.

Patty is selling her car through a newspaper ad. When she finds a buyer, she wants a form of payment which is guaranteed to be good.

Which form of payment should she AVOID?

a)

cash

b)

check

15.

A blank endorsement on a check:

a)

creates a check that can be cashed by anyone.

b)

means it's canceled

c)

is the safest

16.

You have a checking account balance of $100. 

You deposit a personal $200 check from your brother in your checking account. 

When will you be able to withdraw $150 in cash?

a)

3 to 7 days later

b)

1 year later

c)

Never ever ever

17.

Travelers checks, often used for vacations:

a)

function as cash and are easily replaced if lost

b)

are a loan

c)

come with a free beach towel

18.

Money orders are:

a)

a purchased certificate to pay a specified amount to a specific payee

b)

the same as a credit card

c)

from the olden days

19.

Safe-deposit boxes are:

a)

like PE lockers

b)

only found in banks in Canada

c)

Safe and can be accessed only by the owner of the box.

20.

Financial services and products generally offered by banks and credit unions include:

a)

pet adoption

b)

savings and loans

21.

A bank Certificate of Deposit is a:

a)

savings instrument that requires a deposit for a period of time during which there is a penalty for withdrawals.

b)

stock

c)

round and plays music

22.

This financial product has the most predictable income:

a)

stocks

b)

Certificate of Deposit CD

23.

The ease and speed with which you can convert savings or an investment to cash is:

a)

liquidity

b)

gambling

c)

merging

24.

The most liquid type of investment is:

a)

a  money  market  account

b)

expensive artwork