Banking and Financial Institutions Practice
Exam UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Commercial banks
Title loans
S& l's
Credit unions
Brokerage firms - correct answer which is not one of the four common financial institutions?
Deregulation - correct answer means that laws have been enacted to remove some of the
restrictions (or regulations) that previously affected banking and financial institutions.
Checking accounts - correct answer people can pay by check or debit card instead of cash.
Savings accounts and certificates of deposits (cds) - correct answer safe places to let money
grow; interest is earned on deposits.
Automated teller machines (atms) - correct answer easy access to money from multiple
locations, 24 hours a day
Direct deposits and automatic withdrawls - correct answer enable account holders to deposit
money or pay bills automatically.
Online banking - correct answer all transactions is immediately available online, with only a
few key strokes, 24 hours a day. Users can make payments without writing checks.
Deposit insurance - correct answer guarantees that deposits are insured by the federal
government
Credit cards - correct answer enable card holders to access credit (for purchases) conveniently
up
Exam UPDATED ACTUAL QUESTIONS
AND CORRECT ANSWERS
Commercial banks
Title loans
S& l's
Credit unions
Brokerage firms - correct answer which is not one of the four common financial institutions?
Deregulation - correct answer means that laws have been enacted to remove some of the
restrictions (or regulations) that previously affected banking and financial institutions.
Checking accounts - correct answer people can pay by check or debit card instead of cash.
Savings accounts and certificates of deposits (cds) - correct answer safe places to let money
grow; interest is earned on deposits.
Automated teller machines (atms) - correct answer easy access to money from multiple
locations, 24 hours a day
Direct deposits and automatic withdrawls - correct answer enable account holders to deposit
money or pay bills automatically.
Online banking - correct answer all transactions is immediately available online, with only a
few key strokes, 24 hours a day. Users can make payments without writing checks.
Deposit insurance - correct answer guarantees that deposits are insured by the federal
government
Credit cards - correct answer enable card holders to access credit (for purchases) conveniently
up
