2 pt

1. Money Basics Savings Accounts Checking Accounts Credit Credit Cards 1pt 1 pt 1 pt 1pt 1 pt 2 pt 2 pt 2pt 2pt 2 pt 3 pt 3 pt 3 pt 3 pt 3 pt 4 pt 5 pt 4pt 4 pt 4pt 5pt 5 pt 5 pt 5 pt

2. Anything of value owned by a person or company is known as…

3. Asset

4. When an employer pays you directly in to your banking account, this process is known as…

5. Direct Deposit

6. Which of the following is NOT a benefit of using a bank: A. Safety B. Knowledge C. Savings D. Convenience E. None of the Above (all are benefits)

7. E. None of the above

8. Fill in the blank • is the annual rate at which money loses its value

9. Inflation

10. What is the relationship between your life goals and a bank? .

11. Knowing how to use banks well and manage your money well will help you achieve your life goals

12. This account is used for long term storage of money, not used for daily spending

13. Savings Account

14. All savings account have an APY attached…what does APY stand for and what does this mean for the money in your account?

15. APY – Annual Percentage Yield Means money in your account earns interest.

16. Why should you always keep a good chunk of money in your savings account?

17. In case of emergencies OR For large purchases

18. What is the danger of keeping all your saved money in savings over the long term??? What should you do to avoid this?

19. APY Doesn’t keep up with inflation, money will lose value Invest

22. What are the two ways you can spend money from your checking account without taking out cash?

23. Checks Debit Card

24. What do you need to do before you deposit a check you received in to the bank?

25. Endorse it

26. Why do all debit cards now have an EMV chip?

27. Makes stealing your account more difficult

28. Name the 2 parts of this check 9 10

29. 9. Routing Number 10. Bank Number

30. What are two ways you can ensure you don’t overdraft your checking? • What can you do to ensure you don’t get a fee if you overdraft?

31. Monitor account or track your account regularly *Transaction Register, Mobile Banking App • Overdraft Protection

32. What does APR stand for and how would you define it?

33. Annual Percentage Rate – Rate of interest applied to your credit card or loan

34. What negative effects does having bad credit have on you? Name at least 2… e

35. Can’t get loans Can’t open new accounts APR rates are higher in the futur

36. True or False – your ability to get a loan can be denied based on how long you’ve had a job?

37. True – holding a job down for a long period of time proves that you are responsible

38. Which of the following is NOT a way you can build credit from scratch: • Co – Sign a Loan • Use Pre-Paid Cards from the Grocery Store • Set up a secure line of credit • Put your name on utilities and pay them on time

39. B

40. Where is the only place your can get your true credit score? What is that score called?

41. www.annualcreditreport.com FICO Credit Score

42. True or False: You can decide your APR and limit on your credit card

43. False – can pick the best credit card for you, but APR and limit is based on a number of factors such as how much money you make, your credit score, etc…

44. What is the difference between a fixed and variable APR?

45. Fixed – charged the same rate, never changes Variable – rate can change month to month

46. Why is it bad to rely on minimum payment for your credit cards?

47. Puts you in the credit trap. End up paying large amount of interest and very little on the principal, extending the time it takes to pay off an item

48. How is APR applied to daily purchases?

49. Charged your APR/365 days of the year

50. What is revolving credit?