Ch 4 Review

APY

Annual Percentage Yield

ATM

Automated Teller Machine

Which 3 of the following deposit-type institutions serve as financial intermediaries

Credit unions Commercial banks Savings and loan

____ deposits include checking accounts and other payment methods.

Demand

Another name for an asset management account is

a cash management account

Share draft accounts at a credit union

are interest bearing

specific stop payment order given to a bank is designed to

avoid paying a specific check that is lost or stolen

A _________ union is a user-owned, nonprofit, financial institution that is organized for the benefit of its members

credit

Share accounts are typically offered by

credit unions

When you sign the back of the check, this is a

endorsement

Which one step below is NOT a step in the check-writing process?

endorsing the check on the reverse

Place the steps to writing a check in rank order from first to last. This is taken directly from the text: (a) Record the amount of the check in figures or numbers; (b) Write the amount of the check in words; (c) Sign the check; (d) Note the reason for the payment; (e) Write the name of the person receiving the funds; (f) Record the date

f, e, a, b, c, d

A _________ fund is an account used for savings offered by investment companies

money market

A _________ savings bank is owned by depositors and specializes in savings and mortgages

mutual

A __________ and loan association traditionally specializes in savings accounts and mortgage loans

savings

A __________ ticket or slip is used to add funds to a checking account

ticket

lost or stolen credit cards rather than the rules for lost or stolen debit cards. In that case, if the card holder notifies the bank within two days of the lost card, the maximum liability is

$50

A savings plan that requires a certain amount of money to be left for a stated time period to earn a specific rate of return and imposes penalty for early withdrawal is called

certificate of deposit