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CTFA · Question #80

Money market deposit account is a federally insured savings account, offered by banks and other depository institutions, that competes with money market mutual funds. Depositors can check- writing…

The correct answer is C. A rise in monthly bank charges, which can easily amount to more than the interest earned on all. See the full explanation below for the reasoning.

Fiduciary and Trust Activities

Question

Money market deposit account is a federally insured savings account, offered by banks and other depository institutions, that competes with money market mutual funds. Depositors can check- writing privileges or ATM to access MMDA accounts. A major problem with the growing popularity of interest-paying checking accounts has been:

Options

  • AA slump in monthly bank charges, which can easily amount to more than the interest earned on
  • BA fall in monthly bank charges, which can easily amount to more than the interest earned on all
  • CA rise in monthly bank charges, which can easily amount to more than the interest earned on all
  • DA rise in monthly bank charges, which can easily amount less than the interest earned on all but

How the community answered

(33 responses)
  • A
    9% (3)
  • B
    3% (1)
  • C
    85% (28)
  • D
    3% (1)

Topics

#MMDA#bank charges#interest-paying checking#deposit accounts

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