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Banking 2.1-2.2

Total questions: 8

Worksheet time: 4mins

Name
Class
Date
1.

Sarah is comparing two banks for their services. OceanView Bank offers digital banking and loans, while GreenField Bank provides wire transfers and traveler's checks. Sarah needs to send money to her family overseas every month. Which bank should she choose?

a)

OceanView because it offers digital banking

b)

OceanView because it offers loans

c)

GreenField because it offers wire transfers

d)

GreenField because it offers traveler's checks

2.

Which of the following best describes the primary way that banks make a profit?

a)

By charging customers for using ATMs that are outside of their network

b)

By lending out deposited money at higher interest rates than they pay on deposits

c)

Renting safe deposit boxes to clients

d)

Charging fees for issuing certified checks and money orders

3.

What is a key difference between online banks and traditional banks?

a)

Online banks are not FDIC-insured

b)

Traditional banks do not offer digital banking services

c)

Online banks usually offer higher interest rates on savings accounts

d)

Traditional banks do not provide lending and credit services

4.

All of the following are reasons to open a checking account EXCEPT...

a)

Making it easier to pay bills

b)

The ability to make purchases with a debit card

c)

Access to cash at an ATM

d)

Earn interest on your deposits

5.

Which of the following is usually a benefit of being a member at a credit union?

a)

Higher interest rates and lower fees

b)

Lower interest rates and higher fees

c)

Higher interest rates and higher fees

d)

Lower interest rates and lower fees

6.

Daisy reads her bank statement and finds an error. She should...

a)

Do nothing. The bank will correct the error at the end of the month.

b)

Call the FDIC. She is insured up to $250,000.

7.

If you notice a suspicious transaction in your bank account, you should ______.

a)

Call the bank. The bank will investigate the transaction to see if it was an error.

b)

Ignore it and hope it goes away.

c)

Withdraw all your money immediately.

d)

Share your account details with friends to check.

8.

If you assume that it’s a transaction that she made and forgot about, you should ______.

a)

Assume that it’s a transaction that she made and forgot about.

b)

Report it as fraud immediately.

c)

Ignore it and never mention it.

d)

Cancel all her cards.