EVERFI Module 1 Banking Basics Test
Questions and Answers
1. Brick and Mortar banks?: banks have physical buildings. These are the banks you may see as
you drive through town.
2. What are 3 things you can do at a brick and mortar bank?: exchange checks for cash, deposit
checks, speak to someone in person
3. What are 3 negative things about using brick and mortar banks?: Earn little interest on the
money in your accounts, you pay higher bank fees since banks have to pay to keep the physical
building, can't access physical bank after hours
4. Internet banks: only online. All services are done through an application or website using
either a computer or mobile device.
5. What are 3 things you can do with internet banks?: deposit checks into accounts, earn
interest on your money in accounts and pay less interest on your loans, use debit cards at ATMs
around the world
6. What are 3 negatives to online banking?: Difficult to deposit cash, could lose account
temporarily if website glitches, may not have access to checking accounts
, 7. Credit Unions: are not-for-profit institutions that are co-owned by their members who make
decisions democratically and they typically offer all of the same services as traditional banks.
8. What are 4 positives with using a credit union?: Get free checking account with low deposit
and lower bank fees, better interest rates on savings accounts and loans, access banking services
online
9. What are 2 negatives about using a credit union?: Have to be eligible to join credit union
through your job, location, membership of certain groups, or a family member, there may be fewer
branches available in your area
10. Cash advance or payday loans: allows a person without a bank account or credit union to
get money quickly, but at a high risk.
11. What are 2 positives with using cash advance?: Get cash for check imme- diately, have 24
hour access in many cases
12. What are 3 negatives about using cash advance?: Always have to pay for the service, get a
very bad deal, can fall into payday loan cycle where you need to take out another payday loan to
pay for the first one
Questions and Answers
1. Brick and Mortar banks?: banks have physical buildings. These are the banks you may see as
you drive through town.
2. What are 3 things you can do at a brick and mortar bank?: exchange checks for cash, deposit
checks, speak to someone in person
3. What are 3 negative things about using brick and mortar banks?: Earn little interest on the
money in your accounts, you pay higher bank fees since banks have to pay to keep the physical
building, can't access physical bank after hours
4. Internet banks: only online. All services are done through an application or website using
either a computer or mobile device.
5. What are 3 things you can do with internet banks?: deposit checks into accounts, earn
interest on your money in accounts and pay less interest on your loans, use debit cards at ATMs
around the world
6. What are 3 negatives to online banking?: Difficult to deposit cash, could lose account
temporarily if website glitches, may not have access to checking accounts
, 7. Credit Unions: are not-for-profit institutions that are co-owned by their members who make
decisions democratically and they typically offer all of the same services as traditional banks.
8. What are 4 positives with using a credit union?: Get free checking account with low deposit
and lower bank fees, better interest rates on savings accounts and loans, access banking services
online
9. What are 2 negatives about using a credit union?: Have to be eligible to join credit union
through your job, location, membership of certain groups, or a family member, there may be fewer
branches available in your area
10. Cash advance or payday loans: allows a person without a bank account or credit union to
get money quickly, but at a high risk.
11. What are 2 positives with using cash advance?: Get cash for check imme- diately, have 24
hour access in many cases
12. What are 3 negatives about using cash advance?: Always have to pay for the service, get a
very bad deal, can fall into payday loan cycle where you need to take out another payday loan to
pay for the first one
