Question

you are checking your online account and see the transactions below:
vista bank account 1100223300

date	transaction description	amount	balance
08/05	atm cash withdrawal	-$100.00	$500.00
08/09	ach - elite gym membership	-$50.00	$450.00
08/16	check deposit #1234	$800.00	$1,250.00
8/25	visa debit - ocean bistro	-$70.00	$1,180.00

which of these transactions is an automatic payment?
choose 1 answer:
a) atm cash withdrawal
b) check deposit #1234
c) visa debit - ocean bistro
d) ach - elite gym membership

Explanation:

An automatic payment is a transaction that occurs without the account holder initiating it manually at the time of the transaction (like a scheduled or recurring payment).

• Option A: ATM cash withdrawal is initiated by the account holder at the ATM, so not automatic.
• Option B: Check deposit is initiated by the account holder (depositing a check), not automatic.
• Option C: Visa debit at a bistro is a purchase initiated by the account holder at the time of the transaction.
• Option D: ACH (Automated Clearing House) transactions for gym memberships are typically automatic, recurring payments set up by the account holder (like a monthly gym fee deduction) without needing to manually initiate each time.

Answer:

D. ACH - Elite Gym membership