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Checking Accounts & Banking Services (FL4)

Total questions: 42

Worksheet time: 21mins

Name
Class
Date
1.

A bank account that allows depositors to write checks to make payments

a)

savings account

b)

certificate of deposit

c)

checking account

d)

retirement account

2.

When should you have a checking account?

a)

as soon as you turn 16

b)

by the time you are 30

c)

nobody needs a checking account

d)

when you have income and/or pay bills

3.

When you write a check to pay your electric bill, physical money is moved from your bank to the bank your electric company uses.

a)

True

b)

False

4.

What is an advantage of using a checking account?

a)

provides a convenient way to pay bills

b)

safer than using cash

c)

built in record keeping system

d)

all are advantages of using a checking account

5.

A check written for more money than you have in your checking account in called a(n)

a)

overdraft

b)

voided check

c)

canceled check

d)

certified check

6.

The FDIC insurance each bank account for how much money?

a)

$10,000

b)

$25,000

c)

$100,000

d)

$250,000

7.

An account opened up by two or more people is called a(n)

a)

youth account.

b)

joint account.

c)

group account.

d)

business account.

8.

Which of the following is preprinted on each check?

a)

the payee

b)

the amount

c)

the maker's name and address

d)

the date

9.

Which number identifies your individual checking account at the bank?

a)

the check number

b)

the routing number

c)

the account number

10.

A bounced check is another name for a(n)

a)

certified check

b)

voided check

c)

overdraft

d)

electronic funds transfer

11.

If the numerical amount and the dollar amount written in words on a check don't match, which is the legal value of the check?

a)

the numerical amount ($10.00)

b)

the amount written in words (Eleven and 00/100)

12.

You write a check to pay your rent and give it to your apartment complex. You are the

a)

maker

b)

payee

13.

Most banks offer several types of checking accounts.

a)

True

b)

False

14.

If you make a mistake on a check, you need to write what word on the check?

a)

void

b)

cancel

c)

fraud

d)

bad

15.

Signing the bank of a check to cash it or deposit it is called

a)

signing a check.

b)

voiding a check.

c)

certifying a check.

d)

endorsing a check.

16.

Which is the most common type of endorsement?

a)

restricitve

b)

special

c)

blank

d)

joint

17.

Which type of endorsement transfers ownership of the check to a third party?

a)

restrictive

b)

special

c)

blank

18.

A booklet or form used to record checking account transactions is called a(n)

a)

checkbook register.

b)

bank statement reconciliation.

c)

transaction list.

d)

endorsement book.

19.

Which transaction would not be recorded on a checkbook register?

a)

a check

b)

an online payment

c)

an ATM withdrawal

d)

all of these transactions would be recorded in the checkbook register

20.

Receiving interest on your checking account would have what impact on your checking account balance?

a)

increase it

b)

decrease it

21.

Transferring money from your checking account to your savings account would have what impact on your checking account?

a)

increase it

b)

decrease it

22.

Writing a check would have what impact on your checking account balance?

a)

increase it

b)

decrease it

23.

How often should you reconcile your checking account?

a)

it's not necessary to reconcile your checking account if you check your balance in your mobile app

b)

at least once a year

c)

at least once a month

d)

every day

24.

The process of matching your checkbook register with the bank statement is called

a)

a checkbook register.

b)

a reconciliation.

c)

an endorsement.

d)

an overdraft.

25.

Transactions that you know about that the bank isn't aware of when they print your bank statement are called

a)

outstanding transactions.

b)

mistakes.

c)

voided transactions.

d)

canceled transactions.

26.

An endorsement that includes the words "For Deposit Only" is what type of endorsement?

a)

blank

b)

special

c)

restrictive

27.

All checking accounts pay interest.

a)

True

b)

False

28.

Checking accounts at credit unions are sometimes called share account.

a)

True

b)

False

29.

A paper document, similar to a check, used for making payments that can be purchased at a post office is called a(n)

a)

travel's check

b)

money order

c)

cashier's check

d)

electronic funds transfer

30.

A personal check that the bank guarantees to be good (not bounce) by stamping it is called a(n)

a)

money order

b)

cashier's check

c)

bank check

d)

certified check

31.

A type of guaranteed-payment check that is written by the bank on its own funds is called a(n)

a)

certified check

b)

cashier's check

c)

money order

d)

travel's check

32.

Money orders are not linked to a checking account.

a)

True

b)

False

33.

Debit cards can be used to withdraw money at an ATM.

a)

True

b)

False

34.

A request that the bank not cash or process a specific check is called a(n)

a)

overdraft

b)

voided check

c)

canceled check

d)

stop payment order

35.

What is the primary purpose of a checkbook register?

a)

To track your credit card transactions

b)

To manage investment portfolios

c)

To record checking account transactions

d)

To calculate interest on savings

36.

Which of the following is a feature of a joint account?

a)

It does not require any identification

b)

It is exclusively for business use

c)

Multiple people can access and manage the account

d)

Only one person can deposit money

37.

What happens if you write a check without sufficient funds in your account?

a)

The check will be processed normally

b)

The check will be returned as a bounced check

c)

The check will be converted into a money order

d)

The bank will automatically cover the amount

38.

A transfer of money from one account to another without use of a check or debit card is called

a)

an electronic funds transfer.

b)

a fraudulent transaction.

c)

an overdraft transfer.

d)

a credit transfer.

39.

A bank service that transfers money from your savings account to your checking account if you write a check for more money that you have in your checking account is called

a)

a credit card.

b)

ATM protection.

c)

overdraft protection.

d)

a fraud alert.

40.

What is the primary purpose of a checking account?

a)

To save for retirement

b)

To facilitate daily transactions

c)

To invest in stocks

d)

To earn high interest

41.

Which of the following is typically required to open a checking account?

a)

A business license

b)

A loan application

c)

A valid form of identification

d)

A credit card

42.

What is the purpose of a bank statement?

a)

To apply for a loan

b)

To calculate taxes owed

c)

To offer investment advice

d)

To provide a summary of account transactions