Which of the following statements is false? a. A credit is a deposit to a checking account. b. A debit is a withdrawal from a checking account. c. An overdraft is a fee your bank charges you for opening a checking account. d. Taking money from your account with an ATM card is a debit.

C. An overdraft is a fee your bank charges you for opening a checking account.

Explanation:

An overdraft occurs when money is withdrawn from a bank account and the available balance goes below zero. In this situation the account is said to be "overdrawn". If there is a prior agreement with the account provider for an overdraft, and the amount overdrawn is within the authorized overdraft limit, then interest is normally charged at the agreed rate. If the negative balance exceeds the agreed terms, then additional fees may be charged and higher interest rates may apply.

Reasons for overdraft

1.Intentional loan

2.Failure to maintain an accurate account register

3.Temporary deposit hold

4.Unexpected electronic withdrawals

5.Merchant error

6.Charge back to merchant

7.Authorization holds

8.Bank fees

9.Returned cheque deposit

10.Intentional fraud

11.Bank error

12.Victimization

13.Merchant overdraft