Question

1.  If you intend to deposit funds into your bank account, it is best to use a: a. premium b. blank c. restrictive d. special endorsement.

2. A lost check with a: a. premium b. blank c. restrictive d. special endorsement can be cashed by anyone who finds it.

3. Your personal liability for the misuse of a lost debit card will be limited to $50 if you notify the issuing bank within:

a. 60 days of receiving your bank statement.

b. 90 days of receiving your bank statement.

c. 2 days of losing the card.

d. 7 days after the misuse occurs.

4. Which of the following practices would you recommend using if you wanted to safeguard your personal information and avoid identity theft? identify each statement if it's either a Recommend OR Do Not Recommend.

	Recommend	Do Not Recommend
Bank and make online purchases using a public or unsecured Wifi systems when away from home.
Regularly change your passwords and keep them private.
Write your PIN on the back of your debit card.

Answer 1

1. A restrictive endorsement allows one to deposit funds in a one's own account and there is no risk associated with this.

2. A blank endorsement can be encashed by anyone who finds it.

3. The liability is limited to dollar 50 if it's reported within 2 days of loosing the card. Thereafter it becomes $500.

4. Option 1 is not recommended. You should avoid using unsecured WiFi or public networks to make purchases.

Option 2 is recommended. You should regularly change your passwords and keep them private

Option 3 is not recommended. You should not write the pin on the back of your debit card.

Option 1 and 2 entail the risk of loosing your money.