Strategy Beginner: Choosing a Savings or Checking Account

Test your knowledge

Choose wisely. There is only one correct answer to each question.

0%
Keep studying!
Review your answers below to learn more.
1.
It is possible to get some of your bank or credit union fees waived if _______.
Choose wisely. There is only one correct answer.
All of the above. Certain fees can be waived if you meet one of these conditions.
2.
Which of the following is the best reason why checking accounts aren't effective for saving money?
Choose wisely. There is only one correct answer.
They are designed for spending money. Because they are designed to be spent by you rather than used by the institution holding them, they pay them little or no earnings.
3.
A savings account for a working teenager can help him or her save money because it helps discourage paychecks from being spent right away.
Choose wisely. There is only one correct answer.
True. That, in turn, can put a damper on excessive spending.
4.
What type of earnings are paid on credit union savings accounts?
Choose wisely. There is only one correct answer.
Dividends. While banks pay interest, credit unions pay dividends.
5.
Online financial institutions often charge fewer fees than traditional ones because they have less overhead and can afford to charge you less.
Choose wisely. There is only one correct answer.
True. Online institutions have this advantage.