Depository Institutions

What is a characteristic of a commercial bank?

• For-profit
• Non-profit
• Membership qualifications
• Only available online

What is  characteristic of a credit union?

• Open to anyone
• Membership qualifications
• No physical locations
• Non-profit

Does location affect your choice of depository institution? 

• No
• Yes

Are credit unions insured?

• Yes, and only credit unions are insured
• Yes, by the NCUA
• Only commercial banks are insured
• No depository institutions are insured

What is interest?

• Price paid for using someone else's money
• Percentage of people interested in using banks
• How much money the bank pays to keep running
• The amount of money the bank has

What is an interest rate?

• Percentage rate used to calculate interest
• Percentage rate of people using the bank
• Percentage rate of how much money you've spent
• Percentage rate of how much money the bank owns

What is credit?

• Borrowed money that you have to pay back with interest
• Money you do not need to pay back
• Money you've earned for having good credit that isn't paid back
• Borrowed money that isn't paid with interest

Which of these services do depository institutions offer?

• Financial advice
• Free money
• Ability to take more money than you have without penalty

What is a debit card?

• Plastic card that used to connect to bank accounts
• Plastic card only used with specific stores
• Used to borrow money like a credit card

An ATM can allow you to...

• Access and transfer money
• Order goods online
• Speak with others around the world
• Pay money directly to your boss