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Fill in the blanks: If you want to earn as much as possible, you open a savings account that earns ___________ interest and has the ______________ interest rate. |
Compound; highest |
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Interest |
The amount owed for borrowing money |
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What is generally true about savings vehicles? |
People should evaluate different forms of savings vehicles based on their needs |
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Which account gives you the least access to your money? |
Certificate of Deposit (CD) |
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What is the purpose of a budget? |
To help you plan how you will spend the money you earn or receive |
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Which savings vehicles usually requires a high minimum balance? |
Certificate of Deposit (CD) |
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Two examples of savings vehicles |
Certificate of Deposit & Money Market Account |
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Rule of thumb for saving money |
Putting aside money for savings each month |
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compounding frequency that will earn you the most money |
Daily Compounding |
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Financial Institution the typically comes has membership requirements |
Credit Union |
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Most liquid type of account |
Checking account |
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Which of the following is NOT one of the responsibilities of the Federal Reserve? A) maintaining a stable banking system |
B) Establishing federal budget . . . Is NOT one of the responsibilities of the Federal Reserve |
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LEAST important part of check |
Memo line |
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Which type of account typically has the highest interest rate? |
Certificate of Deposit (CD) |
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Typical Account Fees |
ATM fee, Minim,um balance fee, service fee, etc. |
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Highest fee |
Overdraft fee |
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Fill in the blank: Savings accounts usually offer ______________ interest rates than checking accounts. It is ______________ to access your money in a savings account than in a checking account. |
Higher; harder |
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Three parts of Federal Reserve |
Reserve Banks, Federal Open Market Committee(FOMC) and Board of governors |
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Primary Responsibility of Federal Reserve Bank |
Establish Monetary Policy |
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Credit card balance |
The amount of money you still owe to the credit card company. |
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