What does it mean to reconcile an account?

Balance the checkbook to the balance shown on the statement

What is a monthly statement?

A report that lists each transaction and the current balance

When traveling to another country what bank service would be most helpful?

Special Needs Payment Instruments

To use an ATM and debit card safely, follow the following tips except:

Keep depository institution contact info in your wallet

If someone wanted to save money for several years, which piece of advice would you give them?

Look for the highest interest rates for a savings accounts.

Electronic banking allows all of the following services except:

Face-to-face interaction w/ depository institution employees

How does an individual “bounce a check”?

Writes a check for more than the amount in the account

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Money Management - Depository Institutions Review

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Reviewing for a test on depository institutions and checking accounts.

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Questions 15

Answers

1
Up to what amount are banks and credit unions insured per depositor per account type?
$250,000
$100,000
2
People use a checking account for the following reasons except:
Earn large amounts of interest
Written record of expenses
Convenience
Reduces the need to carry large amounts of cash
3
What does it mean to reconcile an account?
Pay outstanding transactions
Deposit income and record withdraws
Track Check 21 transactions
Balance the checkbook to the balance shown on the statement
4
What is a monthly statement?
Slip that allows money to be deposited into correct account
A report that lists each transaction and the current balance
A piece of paper pre-printed that is used to purchase items
A plastic card that is connected to an individual’s account
5
When traveling to another country what bank service would be most helpful?
Safe Deposit Boxes
Savings Accounts
Special Needs Payment Instruments
Checking Accounts
6
The following information is included on a signature card except:
Social Security number
Address
Marital status
Individuals printed and signed name
7
If you make a mistake and spend more than what is in your account, which fee can you expect?
ATM Fee
Contact Fee
Safe Deposit Fee
Overdraft Fee
8
To use an ATM and debit card safely, follow the following tips except:
Report lost or stolen debit/ATM cards immediately
Memorize the PIN and keep it hidden
Change the PIN if it is suspected someone else knows it
Keep depository institution contact info in your wallet
9
Which type of banking is most useful for someone who frequently uses a smartphone or tablet?
Contactless Banking
Mobile Banking
ATM Banking
Online Banking
10
If someone wanted to save money for several years, which piece of advice would you give them?
Choose a free, no‐interest checking account.
Use a safe deposit box.
Look for a Credit Union that offers share draft accounts.
Look for the highest interest rates for a savings accounts.
11
What is an effective way to access your checking account funds without going to a bank?
Apply for mobile banking.
Apply for a debit card.
Request a cashier’s check.
Apply for a credit card.
12
Electronic banking allows all of the following services except:
Make withdrawals, deposits and bill payments
Face-to-face interaction w/ depository institution employees
Provides worldwide access to funds
Move money between accounts electronically
13
What is the most common type of depository institution?
Savings and loan institution
Credit union
Mortgage broker
Commercial bank
14
Which of the following is not a check endorsement type?
Restrictive endorsement
Special endorsement
Full endorsement
Blank endorsement
15
How does an individual “bounce a check”?
Deposits more money than withdrawn
Writes a check for more than the charged amount
Writes a check for more than the amount in the account
Does not write enough checks per day

Money Management - Depository Institutions Review Flashcards | StudBud