FDIC (Federal Deposit Insurance Corporation): Meaning, Functions & Banking
Protection
In which of the following goal setting steps would you identify timeframes (e.g., short-,
medium-, or long- term) for your financial goals? - correct answer ✔✔Organize your goals
Which of the following is the best and safest option for repairing your credit history? - correct
answer ✔✔Do it yourself
Which of the following factors must you consider when deciding between obtaining a car loan
or car lease? - correct answer ✔✔None of the choices are correct
What are the tip- offs that this is probably a predatory offer? - correct answer ✔✔All of the
answers are correct
Which of the below best describes a debit card? - correct answer ✔✔Is used to make purchases
at retail locations and ATM cash withdrawals
Which of the following overdraft coverage options might a bank offer? - correct answer
✔✔Ability to link a savings account to a checking account
What should you do before you contact your creditors when you know you cannot make a
payment? - correct answer ✔✔All choices are correct
Which of the following do you do when you reconcile your checking account? - correct answer
✔✔All choices are correct
A loan is the amount of money a financial institution charges for letting you use its money. -
correct answer ✔✔False
, Which of the following is required information that a bank must provide to consumers under
the Truth in Savings Act? - correct answer ✔✔All choices are correct
How can you protect yourself from identity theft? - correct answer ✔✔Review your financial
account statements and credit report regularly
All of the following should be considered when shopping for a loan EXCEPT______? - correct
answer ✔✔Mileage limitations
If you pledge an asset (e.g., house, car) as collateral for a loan, it is considered what type of
loan? - correct answer ✔✔Secured
The best way to keep from overdrawing your account or writing "bad checks" is to: - correct
answer ✔✔Record all of your transactions
Which electronic banking service allows you to designate when bills are paid from your account
each month? - correct answer ✔✔Online Bill Payment
What is the part of your monthly payment used to repay the money you borrowed? - correct
answer ✔✔Principle
What is the definition of a fixed expense? - correct answer ✔✔An expense that stays the same
from month to month
Why is credit important? - correct answer ✔✔All choices are correct
A_______ is the best person to help you fill out a mortgage application. - correct answer
✔✔Customer service representative
Protection
In which of the following goal setting steps would you identify timeframes (e.g., short-,
medium-, or long- term) for your financial goals? - correct answer ✔✔Organize your goals
Which of the following is the best and safest option for repairing your credit history? - correct
answer ✔✔Do it yourself
Which of the following factors must you consider when deciding between obtaining a car loan
or car lease? - correct answer ✔✔None of the choices are correct
What are the tip- offs that this is probably a predatory offer? - correct answer ✔✔All of the
answers are correct
Which of the below best describes a debit card? - correct answer ✔✔Is used to make purchases
at retail locations and ATM cash withdrawals
Which of the following overdraft coverage options might a bank offer? - correct answer
✔✔Ability to link a savings account to a checking account
What should you do before you contact your creditors when you know you cannot make a
payment? - correct answer ✔✔All choices are correct
Which of the following do you do when you reconcile your checking account? - correct answer
✔✔All choices are correct
A loan is the amount of money a financial institution charges for letting you use its money. -
correct answer ✔✔False
, Which of the following is required information that a bank must provide to consumers under
the Truth in Savings Act? - correct answer ✔✔All choices are correct
How can you protect yourself from identity theft? - correct answer ✔✔Review your financial
account statements and credit report regularly
All of the following should be considered when shopping for a loan EXCEPT______? - correct
answer ✔✔Mileage limitations
If you pledge an asset (e.g., house, car) as collateral for a loan, it is considered what type of
loan? - correct answer ✔✔Secured
The best way to keep from overdrawing your account or writing "bad checks" is to: - correct
answer ✔✔Record all of your transactions
Which electronic banking service allows you to designate when bills are paid from your account
each month? - correct answer ✔✔Online Bill Payment
What is the part of your monthly payment used to repay the money you borrowed? - correct
answer ✔✔Principle
What is the definition of a fixed expense? - correct answer ✔✔An expense that stays the same
from month to month
Why is credit important? - correct answer ✔✔All choices are correct
A_______ is the best person to help you fill out a mortgage application. - correct answer
✔✔Customer service representative
