Btec Unit 3 Personal Finance (2)

Which of the following is a written order to a bank for a specific amount of money to be transferred from one account to another?

• CHAPS

• Cheque

• BACS

• Receipt

Which of the following financial institutions is NOT able to be visited on the high street?

• Nationwide Building Society

• Cash Converters

• Bank of England

• Royal Bank of Scotland

Which of the following represents a face to face way of communicating with customers?

• Telephone banking

• Branch banking

• Online banking

• Mobile banking

Which of the following is NOT a feature of a premium bond?

• Can be bought for as little as £100

• Prizes are tax free

• They are obtained through National Savings and Investments

• Draws are made every week

Which of the following would NOT be used by a lender when calculating repayments on a mortgage?

• The value of the property being bought

• The interest rate applicable to the loan

• The number of years the mortgage will be held for

• The level of crime in the postcode where the house is situated

What is the FSCS an abbreviation of?

• Financial Services Conduct Scheme

• Financial Services Compensation Scheme

• Financial Standards Compensation Scheme

• Financial Standards Conduct Scheme

Which of the following is an ADVANTAGE of branch banking?

• There may be long queues at busier times of the day

• It is available 24/7

• It requires you to have technology or devices

• Additional services such as advice can be offered

Which of the following is the correct DISADVANTAGE of using a pawnbroker?

• The amount given for the asset is often significantly lower than its actual worth

• The asset will be placed in a window and so may be damaged by direct sunlight

• Interest is not charged

• It is not open to members of the public, only businesses

A credit union usually requires members to:

• Be over 21

• Work in a particular industry

• Live in the South of England

• Be a homeowner

Which of the following is NOT a type of mortgage?

• Fixed rate

• Variable rate

• Semi-variable rate

• Tracked rate