Banking services and products

Question 1

Does identification need to be provided when opening an account?

Answer 1

Yes.

Question 2

What legislation determines the identification requirements to be met when opening a bank account?

Answer 2

Anti-Money Laundering and Counter-Terrorism Financing Act.

Question 3

Can bank accounts be opened for entities?

Answer 3

Yes.

Question 4

What entities can bank accounts be opened for?

Answer 4

Trusts, sole traders and companies.

Question 5

What is interest?

Answer 5

Cost of borrowing money.

Question 6

What is simple interest paid on?

Answer 6

Only on the original amount invested.

Question 7

What is compound intrest?

Answer 7

Interest rate is applied to the interest that has been reinvested.

Question 8

Does compound interest or simple interest lead to a greater return?

Answer 8

Compund interest.

Question 9

What are the five general deposit products?

Answer 9

Transaction accounts, savings accounts, term deposits, cash management accounts, internet-based savings
accounts