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Banking Unit Review

Total questions: 31

Worksheet time: 16mins

Name
Class
Date
1.

What is the main purpose of a Checking Account?

a)

To earn high interest

b)

To invest in stocks

c)

To store and access money

d)

To apply for credit cards

2.

Which of the following is true about Savings Accounts?

a)

They typically have higher interest

b)

You can only access money once a year

c)

They're used only for retirement

d)

They require a credit check

3.

What is overdraft protection?

a)

A policy that closes your account after a negative balance

b)

A feature that prevents all purchases if funds are low

c)

A service that covers transactions when you don't have funds (might have a fee)

d)

A type of savings account

4.

Which of the following financial institutions is nonprofit and member-owned?

a)

Commercial Bank

b)

Investment Firm

c)

Payday Lender

d)

Credit Union

5.

What does the FDIC insure?

a)

Stock market investments

b)

Cryptocurrency accounts

c)

Bank deposits up to $250K

d)

Home values

6.

Which type of account is best for making frequent transactions like paying bills or using a debit card?

a)

Certificate of Deposit

b)

Checking Account

c)

Savings Account

d)

Retirement Account

7.

A routing number is:

a)

A unique number that identifies a bank

b)

Your account number

c)

A loan number

d)

A type of fee

8.

What is the difference between a debit card and a credit card?

a)

Debit cards let you borrow money from the bank

b)

Credit cards don't impact your credit score

c)

Debit cards use your own funds

d)

Debit cards can only be used online

9.

What is a bank statement?

a)

A legal notice of bank fraud

b)

A printed check

c)

A summary of your account activity

d)

A list of stock prices

10.

What is the best reason to reconcile your bank statement?

a)

To cancel your account

b)

To make sure your records match

c)

To increase your interest rate

d)

To avoid using ATMs

11.

Which of the following is NOT a typical bank fee?

a)

Monthly Maintenance Fee

b)

Overdraft Fee

c)

Insurance Premiums

d)

ATM Fee

12.

What does "APY" stand for?

a)

Annual Percentage Yield

b)

Account Protection Yearly

c)

Asset Payment Yield

d)

Average Payment Year

13.

A mobile banking app can typically do all of the following EXCEPT:

a)

Deposit checks remotely

b)

Connect to the ATM wirelessly

c)

Track spending

d)

Transfer money

14.

What is the benefit of setting up direct deposit?

a)

You receive your paycheck on a prepaid debit card

b)

You get your money faster and automatically

c)

You avoid taxes on your paycheck

d)

You only receive paychecks monthly

15.

Which of these is good reason to choose a bank with a large ATM network?

a)

To pay more fees

b)

To avoid mobile banking

c)

To have easy access to cash

d)

To get investment advice

16.

Debit cards are linked directly to your checking account.

a)

True

b)

False

17.

You can only use a savings account once a year.

a)

True

b)

False

18.

Credit Unions typically offer lower fees than traditional banks.

a)

True

b)

False

19.

A bank will never charge fees for using an out-of-network ATM.

a)

True

b)

False

20.

Reconciling your bank account helps avoid errors or fraud.

a)

True

b)

False

21.

All savings accounts earn the same interest rates.

a)

True

b)

False

22.

A mobile banking app can help you keep track of your budget.

a)

True

b)

False

23.

The FDIC insures investments in stocks.

a)

True

b)

False

24.

You should always keep your login and baking passwords secure.

a)

True

b)

False

25.

You should compare banks to find one that fits your needs.

a)

True

b)

False

26.

A(n). (a)   is a banking service in which a customer deposits money and writes checks to withdraw at his or her convenience.

27.

Do checking accounts come with any fees?

a)

No, they are completely fee-free

b)

Yes, they may have overdraft, ATM, and monthly maintenance fees

c)

No, but they have high minimum balance requirements

d)

Yes, but only for senior citizens

28.

Should you have both checking and savings accounts?

a)

No, only one account is necessary

b)

Yes, but only if you have a high income

c)

Yes, because they serve different purposes

d)

No, it's better to have multiple checking accounts

29.

A checking account allows you to pay for things in other ways than using cash - like wiring checks or using a credit card

a)

True

b)

False

30.

Most banks offer several types of checking accounts

a)

True

b)

False

31.

A check written by a financial institution on its own funds, signed by a representative, and made payable to a third party.

a)

FDIC

b)

Redlining

c)

Cashier’s check

d)

Line of credit