one of your friends, brianna, tells you that she uses a financial institution thats totally online. it…

one of your friends, brianna, tells you that she uses a financial institution thats totally online. it doesnt have a building or office, but all transactions are conducted online. whats a common advantage of using an internet bank? the fdic insures them for a higher amount. you can easily access your money. they have more atm locations. they pay higher interest rates.

one of your friends, brianna, tells you that she uses a financial institution thats totally online. it doesnt have a building or office, but all transactions are conducted online. whats a common advantage of using an internet bank? the fdic insures them for a higher amount. you can easily access your money. they have more atm locations. they pay higher interest rates.

Answer

Brief Explanations:

Internet banks have lower overhead costs (no physical branches to maintain). To attract customers, they often pass on these savings by offering higher interest rates on deposits compared to traditional banks with physical locations. FDIC insurance limit is standard ($250,000 per depositor, per insured bank) regardless of online or physical. Physical banks usually have more ATM networks. While online access is a feature, the key advantage here (among the options) related to financial benefit is higher interest rates.

Answer:

They pay higher interest rates.