Welcome to Banking Basics: Checking, Savings, and Fees!
Let's Play!

Set up accounts that make money easier

This welcome page is your quick on-ramp. The quiz teaches essentials with clear explanations and practical rules of thumb. No jargon overload, no gotchas.

Questions start friendly and get harder. You will see definitions, short scenarios, and a few quick calculations so the ideas stick and you can apply them immediately.

What you will learn

  • Checking vs savings and what APY actually tells you
  • Common fees (overdraft, ATM) and how to prevent them
  • Simple setups for budgeting and emergency funds

Why this matters

Most money problems are not one big mistake. They are small misunderstandings repeated over time: paying avoidable fees, missing a key detail, or making a choice based on a myth. When you understand the basic model, your defaults get better.

This quiz is designed to build that model. It helps you recognize what changes the outcome and what does not, so you can move faster with less stress.

Scope

This is educational content, not personalized financial advice. We avoid edge-case rules and deep legal detail. The goal is a strong baseline that makes the next step easier.

What to expect

You will answer 20 multiple-choice questions. Each question has one best answer and a short explanation so every question teaches something.

Teasers

  • A quick APY estimate to compare accounts
  • How overdraft and ATM fees add up fast
  • Where an emergency fund should live

How scoring works

Your score is a snapshot of your current instincts. Missed questions are the real value: they point to the highest-impact gaps to review.

How to get the most from the quiz

  • Answer honestly: pick what you would do today, not what you think sounds best.
  • When an explanation surprises you, write down one action to take later.
  • Try the quiz again in a week to see the ideas stick.

After the quiz

Skim the explanations for what you missed and turn them into a short checklist. Pick one small step to do today: set an alert, compare two options, or change one setting.

Who this is for

This quiz is for beginners, people rebuilding confidence, and anyone who wants a clear baseline before making a decision. If you can follow simple math and read a short scenario, you can do this quiz.

Quick tip: if a question makes you pause, write down a one-sentence takeaway. Turning knowledge into a tiny habit is the fastest way to make it stick.

If you are doing this with a partner or friend, compare answers. Differences usually reveal assumptions that matter more than the trivia.

When you see a trade-off question, focus on what you can control: a setting, a default, a timing choice, or a small amount you can automate.

Do not worry about perfection. The goal is fewer expensive mistakes and more confidence. Small improvements compound.

If your situation is complex, use this quiz as preparation. Baseline knowledge helps you ask better questions and evaluate options.

Final note: take this quiz as a quick practice run. The real win is using one insight to make your next decision simpler and safer.

Question 20
If you want to automate saving each payday, the most direct setup is:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Automation is a low-effort way to make habits stick. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

A scheduled transfer to savings
A tax refund
A new credit card
A cashier's check
B
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20

A scheduled transfer tied to payday moves money automatically to savings so you do not rely on willpower.

Question 19
Which is typically best for an emergency fund?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Emergency funds need safety and access, not maximum return. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Checking account with no interest
High-yield savings at an insured bank
Crypto exchange wallet
Long-term stock fund
A
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19

High-yield savings balances liquidity, safety, and interest. Keep emergency funds out of volatile assets.

Question 16
If an account has "no monthly fee," it can still cost money through:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Many accounts are "free" only in the marketing sense. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

ATM fees or overdraft fees
FDIC coverage
Direct deposit
Interest payments to you
A
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16

No monthly fee does not mean no fees. ATM, overdraft, wire, or out-of-network fees can still apply.

Question 18
Which habit most helps stop subscription leaks?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Banking basics include monitoring your money flow. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Never check statements
Review statements monthly
Only pay cash
Close your bank account
C
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18

A monthly review helps catch small recurring charges. Pair it with alerts and a list of subscriptions.

Question 17
Which is a wire transfer most known for?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Wires are a different rail than ACH. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Slow but cheap
Fast but often expensive
Only for cash
Always reversible
B
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17

Wire transfers are often faster but come with higher fees and are hard to reverse, so verify details.

Question 15
A bank statement is useful because it:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Statements help you audit spending and spot unknown charges. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Shows your credit score
Lists transactions and balances over time
Files your taxes automatically
Eliminates fraud risk
C
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15

Statements show a record of transactions and balances. They help with budgeting, disputes, and documentation.

Question 14
Which setup best helps budgeting with irregular income?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Account structure can reduce decision fatigue. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

One account only
Separate accounts or buckets for bills and spending
Ignore categories
Spend first, save later
D
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14

Separating bills money from spending money can make irregular income feel more predictable and reduce accidental overspending.

Question 13
Direct deposit is mainly:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Direct deposit is one of the most common banking automations. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

A loan
An electronic transfer of pay into your account
A fee refund
A credit inquiry
C
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13

Direct deposit is an electronic payment (often via ACH) into your bank account, commonly used for paychecks.

Question 12
Which is a good way to reduce overdraft risk?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Overdraft prevention is mostly about visibility and buffers. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Turn on overdraft coverage and forget it
Set low-balance alerts and keep a small buffer
Ignore pending transactions
Use only cash forever
B
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12

Alerts and a buffer reduce surprises. You can also link savings for overdraft transfers, depending on the bank rules.

Question 11
A CD is best described as:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Some accounts trade flexibility for yield. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

A checking account
A time-locked deposit that pays interest
A credit report
A tax form
A
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11

A certificate of deposit usually pays interest in exchange for locking funds for a set term. Early withdrawal may have penalties.

Question 10
If you incur two $35 overdraft fees and one $12 ATM fee, what is total fees?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Small fees add up fast. Quick math helps you notice patterns. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

$47
$70
$82
$94
D
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10

Two overdrafts: 35+35=70. Add 12 for ATM fee: 82 total.

Question 9
A minimum balance requirement is used to:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Some accounts advertise no fee, but have conditions. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Increase your tax refund
Avoid fees or qualify for perks
Stop fraud automatically
Raise your credit score
D
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9

Banks may waive monthly fees if you keep a minimum balance or meet other requirements like direct deposit.

Question 7
ACH is most commonly used for:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Payment rails differ by speed and cost. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

International wire transfers
Direct deposit and bank-to-bank transfers
Buying groceries
Checking your credit score
B
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7

ACH is used for direct deposit, bill pay, and many bank transfers. It is usually slower than wires but cheaper.

Question 8
Which is generally safer for daily purchases?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Fraud protection and cash flow both matter. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Debit card without monitoring
Credit card paid in full monthly
Cash only
Skipping receipts
C
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8

A credit card paid in full can offer stronger fraud protections and keeps your checking balance from being tied up by holds.

Question 6
FDIC insurance primarily protects:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Deposit insurance is about bank failure, not market swings. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Your stock investments
Deposits at insured banks up to limits
Crypto balances
Cash in your wallet
A
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6

FDIC insurance protects deposits at insured banks up to the coverage limit per depositor, per bank, per ownership category.

Question 5
An overdraft fee usually happens when:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Fees often come from timing: pending charges and low balances. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

You pay your credit card early
A transaction exceeds your available balance
You withdraw from savings
You set up direct deposit
D
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5

Overdraft fees can occur when you spend more than your available balance and the bank covers the transaction.

Question 4
If you deposit $5,000 in a savings account earning 4% APY, about how much interest is earned in one year (rough)?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Back-of-the-envelope math helps compare accounts quickly. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

$20
$200
$500
$2,000
D
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4

4% of 5,000 is about 200. So roughly $200 in a year (actual depends on compounding).

Question 3
Which account usually pays a higher interest rate?

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Banks often pay more interest on savings than checking. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Checking
High-yield savings
Cash under a mattress
A store credit card
C
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3

High-yield savings accounts typically pay higher rates than checking accounts, while still being liquid.

Question 2
APY stands for:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Rate terms can be confusing, but one acronym matters for savers. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Annual Payment Yield
Annual Percentage Yield
Applied Payment Year
Average Profit Yield
B
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2

APY is Annual Percentage Yield. It reflects interest plus compounding over a year.

Question 1
A checking account is best for:

Banking Basics: Checking, Savings, and Fees comes up in real life more often than most people expect. Bank accounts serve different jobs. The best setup is usually a simple system. The goal is not to memorize rules, but to build good instincts: know what matters, what does not, and what one practical action you can take next.

Daily spending and bill payments
Long-term investing
Mortgage underwriting only
Filing taxes
A
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1

Checking is typically used for transactions: paying bills, swiping a debit card, and receiving direct deposit.