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Quiz: Will Checks become Obsolete?
by Staff
In the modern world of plastic, paper checks are nearly extinct. Paper checks are a cumbersome payment method, which is both expensive and slow. Take this quiz to learn why paper checks will likely soon be a thing of the past.

How long will it be before checks are completely obsolete?

  • six months
  • a few years
  • a few decades

Why are checks becoming obsolete?

  • debit card use
  • electronic check conversion
  • both of the above

Why is it getting harder to pass fraudulent checks?

  • faster banking processes
  • more security measures in place
  • both of the above

Who has stopped using and/or accepting checks?

  • retailers
  • Supplement Nutrition Assistance Program
  • both of the above

What does the Check Clearing for the 21st Century Act stipulate?

  • Banks don't have to keep checks.
  • Banks don't have to cash checks they did not issue.
  • both of the above

When will check writing in the United Kingdom will no longer be possible?

  • 2013
  • 2015
  • 2018

Besides retailers and governmental programs, who else is eliminating paper check use?

  • landlords
  • employers
  • medical practices

How many checks were written in the United States in 2000?

  • 70 million
  • 700 million
  • 70 billion

Where does your check go when you hand it over to your grocer?

  • It goes through a screening process at the bank.
  • The amount gets deposited into the grocer's bank account.
  • The money first gets taken out of your account.

How can you ensure that the person you are paying by check has immediate access to the check's amount?

  • You both use the same bank.
  • Date the check one day earlier from what the actual date is.
  • Tell the bank what you are planning to do.

The Federal Bank Reserve is ______.

  • an intermediary bank
  • a governmental bank
  • a public bank

An intermediary bank _____.

  • collects checks from all banks
  • delivers checks to all banks
  • both of the above

What percentage of checks does the Federal Bank Reserve handle in the United States?

  • 27 percent
  • 47 percent
  • 67 percent

Correspondence banks _________.

  • have a partnership among themselves
  • avoid using the Federal Bank Reserve
  • both of the above

What is a clearinghouse corporation?

  • a corporation that issues lottery checks
  • a corporation that exchanges checks in bulk
  • a corporation that destroys paper checks

What is Fedwire?

  • It's the federal government's money transfer department.
  • It's how clearinghouse corporations transfer money.
  • It's a new form of payment meant to replace paper checks.

What percentage of check processing in the U.S. do clearinghouse corporations and correspondence banks account for?

  • 13 percent
  • 23 percent
  • 43 percent

What is a routing number?

  • your branch number
  • your account number
  • your check number

What percentage of checks do not need to go through an intermediary bank?

  • 10 percent
  • 20 percent
  • 30 percent

How might you still be able to get a paper payroll check each month even if your employer prefers direct deposit?

  • you don't have a checking account
  • you've previously filed for bankruptcy
  • you ask for a paper check