BPA- Banking & Finance Event 2025/2026 QUESTIONS AND
ANSWERS GUARANTEE A+
A _________ allows deposits and withdrawals; may require a minimum balance to keep the
account open; earns interest; and may limit the number of times you can withdraw money.
a. regular savings account
b. money market account
c. certificate of deposit
d. checking account - a. regular savings account
Which of the following assets is the most liquid?
a. A certificate of deposit that comes due in six months
b. The money in your wallet
c. Ten shares of common stock
d. The money in your savings account - b. The money in your wallet
Overdraft protection is _________.
a. the use of a debit card to purchase an item at a retail store
b. the amount of interest that a financial institution would pay on a deposit
c. the percentage of increase in your account from earned interest d. an automatic loan made to
an account if the balance will not cover a transaction made on the account - d. an automatic loan
made to an account if the balance will not cover a transaction made on the account
What type of financial institution is governed by federal and state laws and regulations?
a. Credit Unions
b. Savings Institutions
c. Banks
d. None of the above - c. Banks
, All the following are ways to establish good credit except _________. a. pay your bills in full
and on time
b. always keep your promises to repay the money you borrow
c. use your credit card to buy something you can't really afford
d. don't write a check for more money than you have in your account - c. use your credit card to
buy something you can't really afford
_________ earns higher interest; may require a higher minimum balance; and provides checks
for withdrawals.
a. regular savings account
b. money market account
c. certificate of deposit
d. checking account - b. money market account
Charging on a credit card is basically _________.
a. free money
b. like using a co-pay
c. using secured collateral
d. taking out a loan - d. taking out a loan
What type of financial institution is a nonprofit financial institution owned by people who have
something in common?
a. Credit Unions
b. Savings Institutions
c. Banks
d. None of the above - a. Credit Unions
ANSWERS GUARANTEE A+
A _________ allows deposits and withdrawals; may require a minimum balance to keep the
account open; earns interest; and may limit the number of times you can withdraw money.
a. regular savings account
b. money market account
c. certificate of deposit
d. checking account - a. regular savings account
Which of the following assets is the most liquid?
a. A certificate of deposit that comes due in six months
b. The money in your wallet
c. Ten shares of common stock
d. The money in your savings account - b. The money in your wallet
Overdraft protection is _________.
a. the use of a debit card to purchase an item at a retail store
b. the amount of interest that a financial institution would pay on a deposit
c. the percentage of increase in your account from earned interest d. an automatic loan made to
an account if the balance will not cover a transaction made on the account - d. an automatic loan
made to an account if the balance will not cover a transaction made on the account
What type of financial institution is governed by federal and state laws and regulations?
a. Credit Unions
b. Savings Institutions
c. Banks
d. None of the above - c. Banks
, All the following are ways to establish good credit except _________. a. pay your bills in full
and on time
b. always keep your promises to repay the money you borrow
c. use your credit card to buy something you can't really afford
d. don't write a check for more money than you have in your account - c. use your credit card to
buy something you can't really afford
_________ earns higher interest; may require a higher minimum balance; and provides checks
for withdrawals.
a. regular savings account
b. money market account
c. certificate of deposit
d. checking account - b. money market account
Charging on a credit card is basically _________.
a. free money
b. like using a co-pay
c. using secured collateral
d. taking out a loan - d. taking out a loan
What type of financial institution is a nonprofit financial institution owned by people who have
something in common?
a. Credit Unions
b. Savings Institutions
c. Banks
d. None of the above - a. Credit Unions
