Banking Terms

Question 1

The annual percentage used to calculate the total interest, either gained or lost from an account supplied supplied by a depository institution

Answer 1

Interest Rate

Question 2

Primary focus is providing loans and mortgages to customers

Answer 2

Savings and Loan Association

Question 3

The amount of money that is either gained or lost when accessing services offered by a depository institution

Answer 3

Interest

Question 4

A term that is used to determine which party should be responsible for damage occurring to products after a service transaction has been completed, but prior to delivery.

Answer 4

Risk of Loss

Question 5

These are businesses which offer multiple services in banking and finance

Answer 5

Depository Institutions

Question 6

Part of the central banking system in the United States

Answer 6

Federal Reserve Bank

Question 7

For profit full-service institutions that offer a wide variety of services

Answer 7

Commercial Bank

Question 8

These are non-profit cooperative institutions owned by their members

Answer 8

Credit Union

Question 9

A federal government agency which insures federally chartered commercial banks and savings and loan associations against loss

Answer 9

Federal Deposit Insurance Cooperation

Question 10

Provides insurance protection for credit unions

Answer 10

National Credit Union Administration

Question 11

Either charge the consumer interest for money borrowed or earn interest for the consumer in a savings account or other investment instrument

Answer 11

Interest Bearing Accounts

Question 12

Paper checks or debit cards that are used to withdraw money deposited into the account to pay for purchases of goods and services.

Answer 12

Checking account

Question 13

An account in which money normally is deposited to earn interest

Answer 13

Savings account

Question 14

Ownership represented by shares in a corporation

Answer 14

Stock

Question 15

An insured interest bearing savings instrument with restricted access to the funds

Answer 15

Certificate of deposit

Question 16

An account which offers higher interest rates than a saving account and may offer limited check writing privileges

Answer 16

Money marked account

Question 17

A debt instrument issued by an organization designed as an investment for the purchase to earn interest

Answer 17

Bond

Question 18

A card used to make a purchase now, with repayment made later without interest

Answer 18

Credit Card

Question 19

Money borrowed and paid back with interest

Answer 19

Loan

Question 20

A secured box in a depository institution to be used for valuable and important personal items

Answer 20

Safe-deposit Box

Question 21

Information and advice is given to customers to help them make financial decisions

Answer 21

Financial Counseling