Business Chapter 25 test
Another name for a full service bank is what?
A commercial Bank
When a bank is granted a charter by the federal government, the bank operates as what?
A national bank
3 examples of deposit institutions
Commercial Banks, Mutual Savings Banks, Credit Unions
A financial institution that specializes in making loans for long-lasting or durable goods and financial emergencies.
Consumer Finance Company
A non-profit financial institution formed by people who have like occupations or live in the same community and that serves only its members
Credit Union
An efficient way for a bank to transfer funds immediately from your savings account to another bank is with what?
Electronic Funds Transfer
The federal agency that protects depositors money in case a bank fails is the ?
Federal Deposit Insurance Corporation
A nationwide banking plan set up by our federal government to supervise and regulate member banks
Federal Reserve System
Savings that are put to work to earn money are called what?
Investments
3 examples of non-deposit institutions
Life Insurance Companies, Pawnshops, Mortgage Companies.
A bank owned by depositors that mainly handles savings accounts and makes loans to home buyers
Mutual Savings Bank
Deposits in credit union accounts are insured by who?
National credit Union Adminastration
What is the formula for interest?
Principal x Rate x Time = Interest
A good place to keep a list of insurance policies is in a banks what?
Safe-Deposit Box
A financial institution that specializes in savings accounts and loans for mortgages.
Savings and Loan Association
All national banks are required to join what?
The Federal Reserve System
A bank that manages money and property for its customers is called what?
Trust company
An amount paid for the use of money
interest
