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WorksheetsPF Unit 2 Banking
Total questions: 47
Worksheet time: 28mins
The 50-30-20 Rule says that you should be saving how much of your monthly income each month?
50%
30%
20%
TRUE or FALSE:
Checks and debit cards allow you to access your bank funds on the spot, when shopping or dining out.
TRUE
FALSE
a business that performs banking services but is owned by its members They are nonprofit.
record
checking account
credit union
retail bank
savings account
What is it called to make the bank statement and the check register agree?
contract
review
reconcile
check
What is a financial statement owned by its members called?
bank
depository
money place
credit union
Interest earned on interest is called
compound interest
double interest
interest on fire
complicated interest
All money in financial institutions insured by FDIC is insured for up to which amount?
100,000
10,000
250,000
25,000
Overdraft protection...
Allows you to withdraw more money than you have in your account
Protects your account from unauthorized transactions
Helps you save money for emergencies
Provides insurance for your deposits
Which of the following is NOT a common way most people are using P2P, such as Venmo?
Splitting bills with friends
Paying rent or utilities
Sending money to family members
Investing in stocks
What are some reasons for why so many Americans live paycheck-to-paycheck?
Low wages
High cost of living
Lack of financial education
All of the above
How does the 50-20-30 rule distribute your income?
50% for needs, 20% for savings, 30% for wants
50% for savings, 20% for needs, 30% for wants
50% for wants, 20% for savings, 30% for needs
50% for needs, 20% for wants, 30% for savings
How does inflation impact the money in your savings account?
It increases the value of your money
It decreases the value of your money
It has no impact on the value of your money
It depends on the interest rate
A check that has been written but has not yet been cashed or deposited by the payee is known as a(n)
bounced check
cleared check
outstanding check
A check that has been written more than available in the account is known as a(n)
bounced check
cleared check
outstanding check
ATM Fees occur when
you use your own bank's ATM
you use another bank's ATM.
you transfer funds to someone else.
Which of the following services will you NOT be able to access while banking online?
Withdraw cash
Transfer funds
Deposit checks
Order checks
An example of a fixed expense is:
Entertainment
Apartment Rent
Restaurants
Vacations
How do banks make profits?
By charging people interest to borrow money.
By charging people interest to keep their money there.
By charging a fee every time a customer writes a check or uses a debit card.
None of the above -- banks are nonprofit institutions.
What is debt?
money owed to lenders/creditors
money that is taken from a savings account
money that does affect your credit
money that is earned
Bank Statement
A monthly fee that some banks charge to provide access to checking or savings accounts
A monthly document prepared by your financial institution which shows all of the transactions related to your account
An automatic electronic deposit of net pay to an employee’s designated bank account
The amount of money you have in your bank account
Credit
To compare your bank’s monthly account statement with your own records of activity for the same account
A sum of money deducted FROM your account
A deposit that has been made but not yet added to the person’s bank account
A sum of money deposited INTO an account
Overdraft Protection
A fee paid to you for keeping your money in an account OR a fee charged to you for a loan or credit card
A monthly fee that some banks charge to provide access to checking or savings accounts
A loan banks offer to their customers when they try to withdraw more funds than they have in their account, usually for a fee and with interest
The person to whom a check is made payable
Maintenance Fee
A monthly fee that some banks charge to provide access to checking or savings accounts
A loan banks offer to their customers when they try to withdraw more funds than they have in their account, usually for a fee and with interest
A fee paid to you for keeping your money in an account OR a fee charged to you for a loan or credit card
A deposit that has been made but not yet added to the person’s bank account
Outstanding Deposit
A deposit that has been made but not yet added to the person’s bank account
A monthly document prepared by your financial institution which shows all of the transactions related to your account
A monthly fee that some banks charge to provide access to checking or savings accounts
A check that has been written but has not yet been cashed or deposited by the payee
Payee
To compare your bank’s monthly account statement with your own records of activity for the same account
The person to whom a check is made payable
A sum of money deposited INTO an account
The amount of money you have in your bank account
What does it mean to endorse a check?
To balance a checking account with your monthly bank statement
To sign your name on the back for deposit or on the front when writing it
To transfer funds electronically from a debit card
To write a check without sufficient funds in the account
What is the purpose of a PIN in banking?
To write a check or make a withdrawal when there isn't enough money in the account
To "balance" a checking account with your monthly bank statement
A number allocated to an individual and used to validate electronic transactions
The electronic transfer of a payment directly from the account of the payer to the recipient's account
What does the term "unbanked" refer to?
Financial institutions that do not offer savings accounts.
People who have online banking accounts only.
People who don't have bank accounts.
Banks that are not insured by the government.
What is the purpose of the memo line on a check?
To record the check number for personal tracking.
To make notes about why you are writing the check.
To list the recipient's account number.
To indicate the date the check was written.
What is a P2P app?
A personal finance tool for tracking expenses and budgeting.
A mobile application for playing online games with friends.
A money transfer app that lets you send and receive cash to and from individuals and institutions through your mobile devices.
A peer-to-peer lending platform for borrowing money without going through a traditional bank.
When writing a check, it is a good idea to use
pencil
erasable pen
blue or black ink pen
red pen
Another name for an overdraft fee is non-sufficient funds.
true
false
Approximately how often does a financial institution send a bank statement to an account holder?
yearly
weekly
quarterly
monthly
What goes on line (b)?
Date
Amount in words
Payee
Amount in numbers
What do you write on line (f)?
The reason why you're writing the check.
Date
Signature
Identification Number
What is written on line (h)?
Check Number
Identification Number-Routing Number
Amount in Numbers
Identification Number-Accounting Number
What goes on line (d)?
Date
Payee
Check Number
Amount in words
A check will NOT be valid without a signature
True
False
What is wrong with this check?
Name is incomplete
Check amount is not written out
Signature issues
Date issues
What is wrong with this check?
Name is incorrect
Signature issues
Money amount is not written correctly
Date issues
How much is the check worth?
$5
$50
$500
$0
The amount of money you have in your bank account
Cancelled Check
Check Register
Balance
Credit
If an expense can NOT be removed from your budget to save money, it is considered a _____.
Income
Want
Need
Savings
Fixed or variable expense: Groceries
Fixed
Variable
NSF stands for
non satisfactory financing
not saving fully
non sufficient funds
non surplus funds
A check that cannot be processed because the maker has made it invalid.
Checking Account
Voided Check
Electronic Funds Transfer
Canceled Check
