Exam 21: Flexible Savings Account Options

Credit extended by a credit card is referred to as _______ because the borrower can borrow up to a pre-specified limit, pay off the balance, and borrow again.

The Competitive Equality Banking Act requires lenders granting home equity loans to set a maximum or ceiling rate above, which the borrower's loan rate cannot rise.

"Funds are held in an interest-bearing money market fund until transferred into stocks, bonds or other securities or accessed via check or credit card" best describes a:

The principal financial asset held by U.S. households is:

Consumer saving and borrowing tends to follow the ups and downs of the business cycle, as households tend to use borrowing and saving as devices to smooth out consumer spending over the course of the business cycle.

In 2009, the Federal Reserve imposed a restrictive rule on the levying of overdraft fees charged by banks and other lending institutions.

Universal life insurance policies combine insurance protection plus money-market fund investments.

What consumer-oriented law or laws passed in the United States apply in each of the situations described below? a. Matthew Crey is discussing with a bank loan officer the terms on a loan he needs to buy a car for his family. Interest charges on an auto loan. b. Robert and Mary Nash believe they were discriminated against when their loan to purchase a new home was denied. Discrimination in denial of a home loan. c. Sally Ferrel was denied a loan because of an adverse report from her credit bureau, which she believes is in error.Inaccuracies in credit bureau report . d. Herbert Coleman has just received his credit card bill and finds several charges made against his account that were not legitimate. Erroneous charges on a credit card bill.

Both Super NOW and money market deposit accounts (MMDAs) have checking account privileges.

The provision of federal law allowing consumers to cancel out a loan agreement within three business days if their home is pledged as collateral behind the loan is known as the:

Disclosure of Community Reinvestment Act ratings is required under the:

Time and savings deposits represented less than 5 percent of the total financial asset holdings of American consumers in 2009.

Which of the following is not one of the broad categories of consumer credit?

A borrower has a home appraised at $100,000 and still owes $70,000 on the home mortgage. If the lender insists on a required loan-to-value ratio of 70 percent, the homeowner's borrowing base must be $25,000.

The Credit Card Act of 2009 was developed to promote greater disclosure and transparency in card usage.

Women are a major beneficiary of the Equal Credit Opportunity Act.

The difference between the appraised market value of the borrower's home and the unpaid amount of the mortgage against the home multiplied by the lender's required loan-to value ratio is known as the:

The single most important consumer lending institution is the savings and loan association.

Finance companies currently make more mobile home loans than commercial banks.

Under the Competitive Banking Equality Act, Banks may delay crediting a deposit to an account for up to 10 business days.