Wise Pre-test # 3 Question Preview (ID: 21201)

a) account paying interest compounded yearly

b) b. account paying interest compounded quarterly

c) account paying interest compounded daily

d) account paying interest compounded never

a) you are promising the bank that your friend will repay the loan

b) you are warning the bank that your friend is a risk

c) when your friend repays the loan both he and you have an improvement in your credit.

d) If your friend does not repay the loan, you are legally required to pay the balance owed.

a) At the end on the month, to know what your current balance and check for errors

b) Every Day

c) Savings and checking accounts are most liquid

d) Once a Year

a) take a small loan using a savings account as collateral and pay it back on time

b) b. obtain a reference letter from an employer

c) directly deposit a paycheck in a saving account

d) make a major purchase with cash rather than using credit cards.

a) allows bank depositors to buy law cost life insurance

b) protects a bank account from being closed in the event of personal bankruptcy

c) insures bank deposits for each customer up to the legal limit 250000

d) permits bank accounts to earn the highest interest rate available.

a) charges interest on the money spent to the persona savings or checking account.

b) deducts the amount of money spent from the savings or checking account

c) treats the money spent the same as a cash advance by charging a high rate of interest.

d) deducts the amount of money spent when the accountss monthly statement is issued.

a) Pay Yourself First: automatically route money from paycheck to savings

b) b. Credit Unions

c) c. car loan payments

d) d. payday lenders and finance companies

a) a. paying off old fixed-rate loans

b) working in their jobs for less than five years

c) credit union: member owned co-operative financial institution – advantage is lower interest rates on loans

d) when you write a check or swipe your debit card but don't have enough money in your account

a) changing jobs for a higher salary

b) paying bills with credit card cash advance

c) having high car expenses

d) using checks to pay for bills

a) have branches in every state

b) offer a variety of services not available at banks

c) do not check the customers's credit report

d) . deal with high risk customer with low credit ratings

a) buying a summer home

b) penalty if cashed before maturity

c) buying a second car

d) people should work on having a 6 month emergency fund that may need for .