Personal Financial Literacy

Question 1

What do financial institutions want to know before lending money?

Accepted Answer

that a person has the means to pay the loan back

Question 2

If you have money you don't want to use, but plan to save, what type of account can you open?

Accepted Answer

a savings account

Question 3

What is it called when you put your paycheck or other money into the bank or credit union?

Accepted Answer

a deposit

Question 4

Many financial institutions offer services to their customers. Which service do they offer?

Accepted Answer

all of these

Question 5

The value of money that is left after expenses are paid is called....

Accepted Answer

profit

Question 6

What is one of the main reasons people deposit money in the bank/credit union?

Accepted Answer

to keep their money safe

Question 7

Which financial institutions lend its members money at a lower interest rate than most banks?

Accepted Answer

credit unions

Question 8

You need to conduct banking business when banks are closed--what would be a good way to bank?

Accepted Answer

online banking

Question 9

What does ATM mean?

Accepted Answer

automatic teller machine

Question 10

Why do most people use financial institutions?

Accepted Answer

all of these

Question 11

What are expenses called that may change from month to month?

Accepted Answer

variable expenses

Question 12

What are bills called that are the same amount every month?

Accepted Answer

fixed expenses

Question 13

You can rent a space in a special room at a bank to store small valuables. What are these?

Accepted Answer

safe deposit box

Question 14

Revenue is the money made by or paid to an organization or business. True or False?

Accepted Answer

True

Question 15

Interest rate - the amount charged (to a borrower) by a lender for the use of its assets/money.

Accepted Answer

True

Questions 15