Ch 3- Personal Banking

Question 1

What is a current account?

Answer 1

Allows people to lodge and withdraw money to pay for everyday expenses

Question 2

Services provided as a part of current accounts?

Answer 2

-Access to ATM (Withdraw cash & pay bills electronically)
-Debit cards
-Overdrafts
-Cheques

Question 3

Advantage of debit cards?

Answer 3

-Wages and salaries can be paid directly into your current account through paypath
-Safe and convenient
-Cannot accumulate debts bc you cant spend more than you have

Question 4

Advantage of current accounts?

Answer 4

-Money is secure in bank
-Easy access using ATMS
-Range of payment methods
-Convenience

Question 5

Disadvantages of current accounts?

Answer 5

-Usually no interest is earned
-Some banks charge the customer for the use of a current account

Question 6

Name 3 things you can do whit online and mobile banking

Answer 6

-Access bank account details online
-Transfer funds electronically between accounts
-See any money transactions

Question 7

Advantages of online and mobile banking?

Answer 7

Convenient as people can do banking from home on their phones

Question 8

Disadvantages of online and mobile banking?

Answer 8

-Your account can be hacked into and have your money stolen

Question 9

Foreign exchange rule?

Answer 9

Euro to foreign currency - multiply
Foreign currency to euro -divide