2024/2025 BANKING TEST ACTUAL EXAM QUESTIONS WITH 100% CORRECT VERIFIED ANSWERS GRADED A, Exams of Business Statistics

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2024/2025 BANKING TEST ACTUAL EXAM QUESTIONS

WITH 100% CORRECT VERIFIED ANSWERS GRADED A

all of the following are true about prepaid cards EXCEPT: a-prepaid cards typically include a lot of fees b-prepaid cards are a useful option for someone who is unbanked to make online purchases c-prepaid cards are a great way to build credit d-prepaid cards are usually accepted anywhere that debit and credit cards are accepted c-prepaid cards are a great way to build credit you are developing a savings plan and using short-, medium-, and long term goals to motivate you. Which represents possible possible goals from short term to long term? a-retirement, a house down payment, college tuition b-a new cell phone, college tuition, a house down payment c-a new cell phone, dinner with friends this weekend, a new bike d-retirement, college tuition, a vacation b-a new cell phone, college tuition, a house down payment Juan saved $1000 from his summer job cleaning pools. Which of these account types would work best for him i he doesn't need access to the money for a number of years and wants to earn the highest interest rate? certificate of deposit Monthly income should be separated as- 50% should go to ____, 30% should go to ____, and 20% should go to ____ needs, wants, and savings which represents the best time to start saving for your retirement? As soon as you have your first full time job. True or false: The majority of americans do NOT have an adequate emergency fund or sufficient amounts of money saved for retirement.

True Experts recommend that you accumulate enough to cover 3-6 ______ of expenses in your emergency fund. Months True or false: Historically, savings accounts earn higher returns than investments in the stock market false What is the highest expected interest rate to lowest expected interest rate for savings options? 10 - year CD, 5-year CD Savings account at traditional bank. Personal saving strategy? Save a certain percentage of each paycheck and deposit it directly into a savings account What best describes a checking account? This account pays you interest on money you have put away for later to help your money grow. What does "living paycheck to paycheck" mean? No money is saved and paychecks are just barely covering monthly expenses You used your debit card to purchase groceries, where does the money for this purchase come from? it is deducted directly from your checking account A notification alerts you that your account balance has dropped $100 after a series of ATM withdrawals. You have not used the ATM in over a week. What should you do? Contact your bank immediately to see if your account has been hacked. What transaction will reduce your checking account balance immediately? using your debit card to pay for groceries. What is an advantage to online banking? Using online banking, you can request transfers, pay bills, and automate your savings without visiting the bank branch.

FDIC insurance is? Protection for bank customers' deposits up to $250,000, guaranteeing their money is still available if the bank goes out of business You say "yes" to receive overdraft protection at your bank. you make a purchase over the amount available in your card. What is the likely outcome of this transaction? You will be charged an overdraft fee and will also need to repay the amount overdrawn. how often do customers receive a bank statement for their checking account? Monthly. A person to person payment method can be used in this scenario- Mia pays cheesy pizza co. for a pizza she orders on their website. direct deposit typically refers to your ____ sending your ____ electronically to your bank account. employer, paycheck Pro of being unbanked- lack of fees associated with banks Joelle wants to have an emergency fund to cover 6 months of her expenses. Her monthly gross pay is $4,000 and her monthly expenses are $2000. If she plans to save 10% of her gross pay each month, how long will it take her to build her emergency fund? 30 months When signing up for a new checking account you answer "No" and opt out of overdraft protection. On this day, you have $10 in your account and go out and use your debit card to buy lunch for $12, a movie ticket for $12, and dinner for $15. What is likely to be the outcome resulting from these transactions? Since you declined overdraft protection, the bank will not allow you to overdraw your account so your card will be denied If inflation is _____ your savings account interest rate will be ____ purchasing power.

higher than, losing