Test #2 Flashcards
A _______ is entitled to call itself a “bank” because it operates under the bank act.
Chartered Bank
The _______ is all of the money in circulation.
Money Supply
The _______ is the minimum rate of interest the Bank of Canada charges for loans made to chartered banks.
Bank rate/Prime rate
_______ and credit unions are co-operatives that perform banking functions for people who are members.
Caisses Populaires
When opening a bank account, the bank keeps a copy of the way a customer writes his or her name on a _______
signature card
_________ allow customers to use a computer terminal to deposit funds, make withdrawals, and do other banking transactions.
Automated Banking Machines
A _______ is used by customers to pay for goods and services and other needs. Transactions are recorded on a _______
Transaction account & Transaction register
A ________ is a basic account to pay personal and household bills. A ________ offers both savings and chequing features.
Straight transaction account & Combination account
A processing fee or ________ is levied on each cheque unless covered by a service plan.
Service charge
A cheque that has been cashed and paid by the financial institution is a ________.
Cancelled cheque
Businesses use a ________ for their banking needs
Current account
Every month, you should prepare a ________ to bring your records and the bank’s records into agreement.
reconciliation
________ are cheques written but not yet cashed
outstanding cheques
A cheque more than six months past its written date is a ________.
Staledated cheque
Putting a future date on a cheque is known as ________.
Post dating
