A bank charges a borrower 6% interest on a personal loan and pays 3% interest on individual savings accounts. Why is there a difference in the two amounts of interest?
Question 2
2.
Katherine wishes to find a financial institution that will allow her to earn interest on deposits and use a debit card. Which of the following would represent her best choices?
Question 3
3.
Assume you wished to borrow $300 from a payday lender. Which of the following is the biggest drawback to this decision?
Question 4
4.
Question 5
5.
Financial institutions such as banks and credit union channel funds from savers to
Look at the options below. Select ALL statements that are true about credit unions.
Credit unions are for-profit institutions owned by stockholders and run by a board of directors.
Credit unions can serve anyone.
Credit unions offer a wider variety of services relative to banks
Credit unions only offer small payday loans.
Credit unions can offer better rates on loans
Credit unions are owned and run by their members.
Credit unions must serve a defined segment of the population.
Credit unions offer checking and savings accounts, as well as loans.