WorksheetsNGPF Banking
Total questions: 20
Worksheet time: 12mins
Experts recommend saving enough to cover 3 to 6 __________ of expenses in your emergency fund.
Days
Weeks
Months
Years
Which of the following is an advantage of online banking?
Online banking means your bank will waive all fees
Online banking gives you a higher interest rate
You can transfer money, pay bills, and save automatically without going to the bank
You can only shop online if you have online banking
When is the BEST time to start saving for retirement?
When you get your first full-time job
After paying off student loans
After paying off all debts
At age 45
Which is NOT a good way to maximize a budget?
Make a list
Buy items on sale
Buy everything you want
When you pay with a debit card at a supermarket, where does the money come from?
Your credit card company pays
It comes from your checking account
Your credit card company gives you a cash advance
It comes from your savings account
Which of these shows savings goals from short-term to long-term?
Retirement, a house down payment, college tuition
A new cell phone, college tuition, a house down payment
A new cell phone, dinner with friends this weekend, a new bike
Retirement, college tuition, a vacation
Joelle wants an emergency fund for 6 months of expenses. Her monthly expenses are $2,000. She saves 10% of her $4,000 monthly gross pay. How long will it take to save her emergency fund?
3 months
9 months
24 months
30 months
Jocelyn receives a bank alert that her account balance is below $100 after several $20 ATM withdrawals, but she hasn't used her ATM card recently. What should she do?
Wait for her monthly statement to check the withdrawals
Wait a week for the bank to fix any mistakes
Check if her debit card is missing. If she has it, don't worry.
Contact her bank immediately as her account may be compromised
Which transaction will immediately reduce your checking account balance?
Writing a rent check to mail tomorrow
Paying for groceries with your debit card
Paying for school books with your credit card
Depositing a check at the bank
Which is a good way to save money?
Save whatever is left at the end of the month
Save a set percentage of each paycheck in a savings account
Spend on wants and needs, then save what's left
Get a payday loan to save before getting paid
Which statement is TRUE?
Most Americans have an adequate emergency fund.
Most Americans have enough money saved for retirement.
Most Americans have an emergency fund, but not enough saved for retirement.
Most Americans do not have an emergency fund or enough saved for retirement.
Fill in the blanks: With the 50-30-20 budgeting rule, 50% of your income goes to _______________, 30% to _____________, and 20% to ______________.
Needs, wants, savings
Savings, needs, wants
Needs, savings, wants
Wants, needs, savings
Your Aunt Tina says her family is "living paycheck to paycheck." What does this mean?
Aunt Tina and her husband get paid in different months
Aunt Tina's family has no savings and their paychecks just cover their expenses
Aunt Tina's family has high paying jobs and doesn't worry about money
Aunt Tina only gets paper paychecks
Money saved in a bank for the future.
Expense
Savings
Income
You have $10 in your account and use your debit card to make three purchases totaling more than your balance. You have overdraft coverage. What is likely to happen?
Your account will be closed
You will likely be charged an overdraft fee for one or more transactions and need to repay the bank
Your debit card will be denied for these purchases
You will have five days to add funds with no fees
Fill in the blanks: Direct deposit means your ______ sends your ______ electronically to your bank account.
employer, bills
employer, paycheck
parents, allowance
state government, taxes
Which statement best describes a savings account?
This account offers a convenient way to pay bills and access cash from an ATM
This account pays you interest on money you have put away for later to help your money grow
This account is automatically debited when you use a debit card
This account typically allows an unlimited number of transactions per month
Which of the following is NOT true about prepaid cards?
Prepaid cards usually have many fees
They are useful for unbanked people to shop online
They help build credit
They are accepted where debit and credit cards are accepted
You have $10 in your account and declined overdraft coverage. You try to make three purchases that total more than your balance. What will likely happen?
Your account will be closed
You will likely be charged an overdraft fee for one or more of the transactions and also will need to repay the bank for the amount overdrawn
Since you declined overdraft coverage, the bank will not allow you to overdraw your account so your debit card will be denied
The bank will provide you five days to add funds to your account to cover the overdraft and no fees will be assessed
What is FDIC Insurance?
Optional coverage for bank deposits
Insurance for banks against fraud
Required for online banking
Protection for deposits up to $250,000 if the bank fails
