Chp. 6 saving

Question 1

saving

Answer 1

setting aside money instead of spending it

Question 2

why do you save

Answer 2

holidays, school, retirement, unplanned expenditure

Question 3

money saving tips

Answer 3

cut back on discretionary expense and cancel subscriptions you don’t use

Question 4

interest

Answer 4

reward given to you by a financial insitiution for saving with them

Question 5

compound interest

Answer 5

percentage on the amount of money in account at the end of the year

Question 6

variable interest

Answer 6

can rise or fall

Question 7

DIRT

Answer 7

(deposit interest retention tax) government tax on interest earned from a financial institution

Question 8

commercial bank

Answer 8

they have a deposit account so people can get money back whenever they want
fixed term deposit account i when money isnt drawn during a certain period of time
notice deposit accounts is when the saver has to give notice before withdrawing money from their deposit account

Question 9

credit unions

Answer 9

they have a deposit account so people can get money back whenever they want
share account will recieve a share of credit unions profit at the end of the year

Question 10

an post

Answer 10

saving bonds and saving certificates give an option of saving a lump sum for a specific period
instalment savings allow people to save between 25 to 1000 per month
prize bonds give people a chance to win weekly tax free cash prizes