Money Moves: Introduction to Financial Concepts

What is an account balance?

• The amount of money you have in an account.

• The fees you must pay to have an account.

• An action you take to protect your savings.

• A type of account offered by a financial institution.

An account balance shows _____.

• how much money you need to open an account

• how different accounts at a financial institution can be connected

• if you are eligible to open an account

• the amount of money that you have in an account

What service does a financial institution offer to help you track your money?

• Interest payments

• Checks

• Safe deposit boxes

• Account balances

What is a transaction that has not been processed yet by a financial institution?

• An overdraft transaction

• An annual transaction

• A pending transaction

• An insured transaction

Why would you possibly not be able to use a check that you just deposited in a checking account?

• The deposit is still pending

• The deposit has overdraft

• The FDIC/NCUA has not insured it yet

• The financial institution is closed for the day

Which balance shows the amount of money you can use now?

• Current balance

• Available balance

• Pending balance

• Checking balance

Why do current and available balances sometimes show different amounts of money in the same account?

• Current balances subtract pending transactions from the available balance.

• Available balances include earned interest.

• Current balances include earned interest.

• Available balances subtract pending transactions from the current balance.

What is it called when someone doesn’t have enough money in an account to cover a charge?

• Compound interest

• Pending charge

• Insufficient funds

• Negative balance

Financial institutions charge a fee for an overdrawn account because _____.

• you have spent more money than you had in an account

• all accounts have yearly fees associated with them

• overdrawn accounts are considered premium and offer more options

• you haven’t deposited any money in a month

What does it mean when someone’s account is overdrawn?

• Funds have been transferred from a savings account to a checking account.

• The account has been closed.

• It’s not earning interest because there is less than $100 in the account.

• They have charged more to their account than they have available. check