Q/Government and Economics - Unit 10: Banking
If you vacation to foreign countries, it is usually best to purchase traveler's checks in ________.
U.S. dollars
What are THREE services provided by ATM's?
You can deposite, withdraw, and move money between your accounts at most ATM.
time deposit
a deposit that gives a certain amount of interest in a specified amount of time
credit union
a financial cooperative that provides loans to its members at lower rates of interest
Knights Templars
a medieval group that guarded valuables and negotiated loans as well as transported money
interest
a percentage of the amount in the savings account which is a reward for the bank's use of the money
interest rate
a set percentage of the deposited amount that will be given to the depositor
credit history
a years-long record of how well a person pays their bills and is financially responsible
surcharges
added fees for various services
building and loan association
another name for savings and loan association, originally built to assist first-time home-buyers
Since the 1960 _ Act and various antitrust laws were enacted, we do not have to worry about "super banks" monopolizing the market and controlling interest rates.
bank merger
educational loan
borrowing money from the bank for college tuition or other higher education expenses
Oxford was started to fill a need that commercial banks were overlooking: individuals who wanted to _ .
buy a home
Traveler's checks function almost like _ .
cash
In 1980 the Depository Institutions Deregulation and Monetary Control Act loosened many governmental controls including the elimination of interest-rate _ on savings and time deposits.
ceiling
interchange fee
charges that your bank must pay if you use an ATM that is not owned by your bank
A credit union is a _ financial institution.
cooperative
account balance information
current balances on checking, savings, and other accounts you may have in your bank
The amount of the traveler's check, such as $10 or $20, is the:
denomination information
A paycheck is electronically transferred into the depositor's account without the depositor having to come to the physical location of the credit union office. This is called a:
direct deposit
A contribution is a financial cooperative that provides loans to its members at lower rates of interest than would be available at other institutions.
false
Any property, such as land or stock, that may cover a person's liabilities is called his income.
false
Tim can take out a car loan from his SLA.
false
You may have made a purchase with your credit or debit card at a store and were asked by a store clerk if you wish to have cash above the amount of your purchase. If you say "yes," you will be charged a fee for that cash.
false
serial association
form of savings and loan; found new ways of financial assistance rather than closing
quarterly
four times a year
PIN stands for Personal _ Number.
indentification
SLAs pay earnings in regular _ to their members, but continue to finance homes and charge interest
installments
savings and loan
institutions that give less products than a bank would, but make up for it by giving better returns
Charges that your bank must pay if you use an ATM that is "foreign," meaning not owned by your bank are called:
interchange fees
residential mortgage loan
loans that are assisting non-commercial purposes; they are helping people buy houses
annual
once a year
share
one of the equal parts divided up by a corporation
What is it called when one stretches their credit beyond the financial guidelines?
overextending
A _ is a tangible way to see what you are saving.
passbook
installment payments
paying on a regular basis at a set time each month or parts of a year
Many foreign ATMs may limit your transactions to your _ account, and may limit your withdrawal amounts.
primary
"Not for _ , not for charity, but for _ " is a credit union motto.
profit,service
Under the _ , your lost or stolen traveler's checks are replaceable when you provide the refund office the serial numbers and exactly which checks you have cashed and lost.
refund policy
monthly statement
regular mailed account of your bank transactions and financial activity
SLAs are institutions that give fewer products than a bank would, but make up for it by giving better returns on the money put into their accounts.
true
The housing industry depends on the SLA for continued growth.
true
There may be fees for cashing traveler's checks.
true
There was once a time when banks were not allowed to merge or even expand outside their county.
true
semiannual
twice a year
Credit cards are considered _debt.
unsercured
Which statement is NOT true?
Local banks offer automobile loans for the government.
The Oxford Provident Building Association was the first ________ to form in America.
Savings and loan association
What is the MOST important quality to have when applying for a loan?
"A" type credit
The idea of banking was well accepted in society among nobles, but it was not until the mid _ that the Riksbank in Sweden and the Bank of England made commercial banking available to the public.
1600s
If Wild Westbank, the ATM owner, levies a $1.50 surcharge, then your $20 withdrawal will appear on your receipt as _, even though all you received was_ .
21.50,20
Which financial institutions are owned by stockholders and exist to make a profit?
Commercial banks Savings and loan associations Investment banks
A(n) _ loan means your paying back the loan is guaranteed by an asset like a piece of real estate.
secure
A car loan is considered a(n) _ loan.
secured
The bank makes a profit by collecting loan fees and the interest the customer pays on the loan; these are called _ fees.
servicing
collateral
something given to guarantee repayment of a loan
Credit unions serve groups of people that share something in common, such as residing in the same community.
sponsors
certificate of deposit
statement that a sum has been deposited for amounts of time, sometimes at a higher rate of interest
A-type credit
strong credit history that gives the bank good reason to approve the loan
processing a loan
the job of putting loan applications into official consideration
ceiling
the limit on the amount given
A cooperative is a joint economic activity that is owned and operated by those who use its services.
true
A cooperative means, in effect, that the people cooperate in order to make the institution a success.
true
Anyone wanting to join should see if their employer_ a credit union.
true
Banks normally levy ATM surcharges only on customers of other banks.
true
