BANKING GENERAL KNOWLEDGE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Which of the following accounts typically has the lowest interest rate?
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Money Market
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Checking Account
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Certificate of Deposit
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Savings Account
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Explanation:
Detailed explanation-1: -Traditional savings accounts earn the least amount of interest. Money market accounts earn higher interest rates than traditional savings accounts but still typically offer lower interest rates than other accounts.
Detailed explanation-2: -The primary benefit of checking accounts is the ability to store money you intend on spending, either through debit card transactions, checks, or cash withdrawals. However, the downside is they typically don’t pay interest.
Detailed explanation-3: -On average, checking accounts that earn interest earn 0.06% APY (Annual Percentage Yield).
There is 1 question to complete.