Question

Which of the following is NOT TRUE of a checking account?

A.) keeps your money safe
B.) gives you a way to pay bills without carrying cash
C.) helps manage money by keeping track of income and spending
D.) has a higher interest rate than a savings account

Answer 1

D.) has a higher interest rate than a savings account

Explanation

This statement is NOT TRUE of a checking account. Checking accounts typically offer lower interest rates compared to savings accounts. The primary purpose of a checking account is to provide a convenient and accessible way to manage everyday transactions such as deposits, withdrawals, and bill payments. While checking accounts keep your money safe, provide a way to pay bills without carrying cash, and assist in managing money by tracking income and spending, they do not typically offer higher interest rates. Savings accounts are generally designed to accumulate interest and help grow savings over time.