Financial Literacy

What is a benefit of saving money in a bank?

• Money in savings accounts earns interest.

• People with savings accounts have access to unlimited credit.

• Money in savings accounts cannot be taxed.

• People with savings accounts have access to unlimited loans.

Which of the following is an advantage a family gets from setting aside money for unplanned expenses as part of their budget?

• It forces them to pay less for essentials such as food and housing.

• It prevents them from going into debt to pay for unplanned expenses.

• It provides extra money if they decide to take an unplanned vacation.

• It prevents them from bankruptcy over a car repair or visit to the vet.

Which word describes a deposit that is electronically transferred from your employer's checking account to your checking account?

• direct deposit

• checking account

• ATM

• personal identification number

Abe, a 35-year-old teacher, is saving money for five things: 1. Retirement 2. A bowling ball 3. A family camping trip in the summer 4. His 7-year-old son’s college tuition 5. His 15-year-old daughter’s college tuition. Which items from the list represent long-term savings goals for Abe?

• 2 and 3

• 3 only

• 4 and 5

• 5 only

Jake travels frequently with his job. He needs a financial institution that he will be able to access anytime and anywhere. Which of the following options would be the best for Jake?

• Credit Union

• Savings and Loans

• Internet Banking

• Traditional Banking Services

What type of bank account allows you to withdraw your money easily by using checks or a debit card.

• Savings Account

• Bank Loan

• Credit Care Account

• Checking Account

Which of the following would be a government funded public good and/or service?

• a library

• a mall

• A toy store

• A restaurant

Which of the following is the lowest wage permitted by law?

• salary

• income

• commission

• minimum wage

Abe, a 35-year-old teacher, is saving money for five things: 1. Retirement 2. A bowling ball 3. A family camping trip in the summer 4. His 7-year-old son’s college tuition 5. His 15-year-old daughter’s college tuition. Which items from the list represent short-term savings goals for Abe?

• 2 and 3 only

• 3 only

• 4 and 5

• 5 only

What is one way you can make your money work for you?

• You have to pay interest to the bank every month.

• You can plant your money in a garden.

• Your money sits under your pillow every night.

• Your money can earn interest in a savings account.