Government deposit insurance covers demand deposits up to $250,000 making them NQA. What aspect of securitized banking provides repo transactions with a form of insurance for amounts that can greatly exceed $250,000?

The bank may require other forms of collateral security for bank loans. These may include O 1. a guarantee by a third party O 2. a real estate mortgage O 3. an assignment of book debts 4. a chattel mortgage 5. all of the above

Which of the following is not a way in which banks lend short-term unsecured loans? a. Through a guaranteed credit line that has a commitment fee for any unused amount for the year b. Through credits cards lines with a certain credit limit c. By sending the amount earned from trust and investment products offered by the bank d. By lending a single date maturity loan to a debtor

On a 32 day notice deposit account, if you opt to withdraw funds sooner than the 32 day notice period, there is a fee involved. How are these fees reflected in the GL of the bank?

Even before you use a new credit card, what information is the institution that issued your card required by law to disclose? o The rate of interest and method used to compute finance charges o The rate of interest and estimated dollar amount of finance charges o The method used to compute finance charges and estimated dollar amount of finance charges The interest rate on cash advances is generally The most common method that banks and retail credit card issuers use to compute finance charges is the average daily balance (ADB) method. You expect to actively use your card. Which variation of the ADB method will be least expensive for you? O ADB excluding new purchases O ADB including new purchases It doesn't matter Consider the following case: On June 1, Crystal's credit card has a balance of $5,626.25. According to the terms of the card's lending agreement, an interest rate of 20% per year is assessed and the monthly finance charges are calculated using the Average Daily Balance (ADB)…

Show how each of the following would initially affect a bank’s assets liabilities. Someone makes $1000 deposit into a checking account. A bank makes a loan of $1000 by establishing a checking account for $1000 The loan described in part (B) is spent. A bank must write off a loan because the borrower defaults.

Note the following information. A line of credit is an agreement between a bank and a borrower by which the borrower can borrow any amount of money (up to a mutually agreed-upon maximum) at any time, simply by writing a check. Typically, monthly simple interest payments are required, and the borrower is free to make principal payments as frequently or infrequently as he or she wants. Usually, a line of credit is secured by the title to the borrower's house, and the interest paid to the bank by the borrower is deductible from the borrower's income taxes.James and Danna Wright did not have sufficient cash to pay their income taxes. However, they had previously set up a line of credit with their bank. On April 15, they wrote a check to the Internal Revenue Service on their line of credit for $10,154. The line's interest rate is 4.125%. (Round your answers to the nearest cent.) (a) Find the size of the required monthly interest payment.$ (b) The Wrights decided that it would be in their…

1. What are the different types of deposit accounts and loans offered to customers by any one commercial Bank? How will it benefit the account holders and borrowers? ​​​​​​​​​​​​

Which of the following is not a way in which banks lend short-term unsecured loans?     Through credits cards lines with a certain credit limit Through a guaranteed credit line that has a commitment fee for any unused amount for the year By sending the amount earned from trust and investment products offered by the bank By lending a single date maturity loan to a debtor

Money Market Deposit Accounts Group of answer choices are offered only by credit unions. allow unlimited check writing. have stated maturity dates. are typically federally insured.