Banking Concepts and Terminology

Front

What is found at the bottom left corner of a check?

Back

Routing Number

Front

Restrictive Endorsement

Back

A check signed by the payee with specific instructions.

Front

Which account type typically has the highest interest rate? Options: Certificate of Deposit (CD), Savings Account, Money Market Account (MMA)

Back

Certificate of Deposit (CD)

Front

What is a benefit of FDIC on deposit accounts?

Back

Protection of deposits up to the legal limit

Front

What is the discount rate?

Back

the interest at which eligible depository institution can borrow short term funds directly from the federal reserve bank

Front

What does the federal funds rate refer to?

Back

The interest rate at which banks lends reserves to each overnight

Front

What does inflation mean?

Back

A rise in prices across the economy

Front

A bank account number is?

Back

A unique series of numbers assigned to a specific bank account used to identify the account financial institution.

Front

A check with payee's signature and no further instructions?

Back

Blank endorsement

Front

What are some common fees associated with checking accounts?

Back

Overdraft fees