BANKING AND FINANCIAL SYSTEMS

Banking & Financial Systems challenges members to demonstrate their understanding of how financial institutions function and their impact on both business and personal finance. This event includes an objective test and a role play scenario, allowing members to apply knowledge in areas such as banking services, regulatory compliance, and financial decision-making.

Event Overview

Division: High School
Event Type: Team of 1, 2 or 3 members
Event Category: Role Play Event
Event Elements: Objective Test and Role Play
Objective Test Time: 50 minutes
Role Play Time: 20-minute preparation time, 7-minute presentation time (one-minute warning)
Educational Alignments

Items Provided by Competitors: Sharpened pencil for objective test and for role play prep, Fully powered device for online testing, Photo Identification, Conference-provided nametag, Attire that meets the Florida FBLA Dress Code

Items Provided by FBLA: One piece of scratch paper for objective test, Internet access for objective test, Test login information; Two notecards for each competitor and secret problem/scenario for role play round

Knowledge Areas

·         Fundamental Principles of Money
·         Financial Institutions & Markets
·         Financial Analysis & Decision-Making
·         Regulatory Compliance in Finance
·         Banking Services & Daily Operations
·         Loans & Credit
·         Customer Relations in Banking
·         Professional Development in Banking
Test questions and role plays are based on the knowledge statements and objectives outlined for this event. Detailed objectives can be found in the study guide included in these guidelines.

District

Check with your District leadership for District-specific competition information.

State

Eligibility

·         FBLA membership dues are paid by 11:59 pm Eastern Time on December 1 (or earlier date specified by District Director) of the current program year.
·         Members may compete in an event at the Stat Leadership Conference (SLC) more than once if they have not previously placed in the top 10 of that event at the National Leadership Conference (NLC). If a member places in the top 10 of an event at the NLC, they are no longer eligible to compete in that event.
·         Members must be registered for the SLC and pay the state conference registration fee in order to participate in competitive events.
·         Members must stay within the official FBLA housing block of the official FBLA hotel to be eligible to compete.
·         Each district may be represented by participant(s) based on the Florida FBLA scaled quota system found on the Florida FBLA website.
·         Each member can only compete in one individual/team event and one chapter event (Community Service Project, Local Chapter Annual Business Report).
·         Identification: Competitors must present valid photo identification (physical) that matches the name on their conference name badge. Acceptable forms include a driver’s license, passport, state-issued ID, or school ID.
·         Each competitor must compete in all parts of an event for award eligibility.
·         All members of a team must consist of individuals from the same chapter.
·         Competitors cannot be replaced or substituted in between the objective test and role play time.
·         If competitors are late for an objective test, they may be either disqualified or permitted to begin late with no extension of the time as scheduled. 
·         If competitors are late for a presentation time, they may be disqualified or placed later in the schedule.  The decision is solely up to the judges.
·         Participants must adhere to the Florida FBLA dress code by the Florida Board of Directors or they will not be permitted to participate in the competitive event.

Recognition

·         The number of competitors will determine the number of winners. The maximum number of winners for each competitive event is 4.

Event Administration

·         This event is two rounds: objective test and role play

·         Objective Test

o   Objective Test Time: 50 minutes
o   Objective Test Questions: 100 questions

o   This event is an objective test administered at the SLC.
o   No reference or study materials may be brought to the testing site.
o   Competitors on a team must test individually, starting within minutes of each other. Individual test scores will be averaged for a team score.


·         Interactive Role-Play Presentation

o   Preparation Time: 20 minutes
o   Presentation Time: 7 minutes (one-minute warning)
o   Question & Answer: None
o   The top 5 scoring teams will advance to the role play final round.
o   The finalists will be sequestered before the first performance to receive instructions and time assignments.  Twenty (20) minutes before their performance time, individuals will receive the case study.  A team entering sequestering after the first performance has begun will be disqualified.
o   The role play will be a problem or scenario encountered in the banking or financial business community.
o   Competitors will be provided with a single copy of a banking and financial systems–related scenario or problem at the beginning of their assigned preparation time. This copy must be shared among team members and may only be accessed within the designated preparation area.
o   Two notecards will be provided to each competitor and may be used during event preparation and role play presentation. Information may be written on both sides of the notecards. Notecards will be collected following the role play.
o   No additional reference materials or props or visuals are allowed.
o   If participating as a team of 2 or 3, all team members are expected to actively participate in the role play.
o   Role plays are interactive presentations; the judges may ask questions throughout the presentation. Finalists may not watch the presentations.
o   Competition ethics demand that competitors and audience members do not discuss or reveal the role play until the event has ended.

Scoring

·         The team-averaged objective test score determines the top 5 teams advancing to role play round.
·         The role play round scores only will be used to determine winners.
·         Objective test scores will be used to break a tie.
·         Decisions of the judges are final. All judging decisions are final. Results announced at the State Leadership Conference are considered official and will not be changed after the conclusion of the State Leadership Conference.

Recording of Presentations

·         No unauthorized audio or video recording devices will be allowed in any competitive event.
·         Participants in the events should be aware FBLA reserves the right to record any presentation for use in study or training materials.

Americans with Disabilities Act (ADA)

·         FBLA meets the criteria specified in the Americans with Disabilities Act for all competitors with accommodations submitted through the conference registration system by the registration deadline.

Penalty Points

·         Competitors may be disqualified if they violate the Competitive Event Guidelines or the Honor Code.

Electronic Devices

o   Unless approved as part of a documented accommodation, all cell phones, watches, electronic devices, and headphones must be turned off and stored away before the competition begins. Visible devices during the event will be considered a violation of the FBLA Honor Code.

National

If you are competing on the National level, be sure to see the National guidelines at:  https://www.fbla.org/divisions/fbla/fbla-competitive-events/

Study Guide: Knowledge Areas and Objectives
This study guide outlines the skills and knowledge assessed for this event. Objectives followed by a two-letter, three-digit code in parentheses are aligned to the National Business Administration Standards from MBA Research and Curriculum Center. Some objectives reference MBA Research’s Learning Activity Packages (LAPs), which are instructional resources with readings, activities, and assessments available exclusively to teacher advisers. For more information, visit MBAResearch.org/FBLA. 

Important Notice Regarding Test Preparation 

MBA Research materials are not required to study for or prepare for FBLA competitive event tests. MBA Research provides curriculum and instructional resources directly to teachers and does not administer or manage individual student testing or competition participation. 

Note for members and parents: All questions related to tests, study materials, scores, or competition guidelines should be directed to the local FBLA adviser. Only teacher advisers should contact MBA Research directly.

Fundamental Principles of Money (5 test items)  

  • Describe functions of money (medium of exchange, unit of measure, store of value) (FI:060) (PQ)  

  • Explain the time value of money (FI:062) (CS)  

  

Financial Institutions & Markets (20 test items)  

  • Describe the role of financial institutions (FI:336) (CS)  

  • Explain types of financial markets (e.g., money market, capital market, insurance market, commodities markets) (FI:337) (SP)  

  • Discuss the nature of convergence/consolidation in the finance industry (FI:573) (SP)  

  • Describe types of banking institutions (e.g., central banks, retail banks, universal banks) (PD:288) (SP)  

  • Describe the nature of the national banking system (PD:195) (SP)  

  • Discuss the role of credit unions (PD:200) (SP)  

  • Explain the evolution of commercial banking (PD:191) (SP)  

  

Financial Analysis & Decision-Making (10 test items)  

  • Explain key ratios/terms in banking (FI:543) (SP)  

  • Compute key banking calculations (e.g., interest, annual percentage rate, exchange rates) (FI:544) (SP)  

  • Calculate the time value of money (FI:238) (SP)  

  

 

Regulatory Compliance in Finance (20 test items)  

  • Explain legal responsibilities associated with consumer financial products and services (FI:063) (CS)  

  • Discuss the nature and scope of compliance in the finance industry (BL:148) (SP)  

  • Discuss the responsibilities of regulatory agencies that oversee the banking industry (BL:094) (SP)  

  • Discuss federal regulation of lending functions (BL:092) (SP)  

  • Discuss federal regulation of operations functions in banking services (BL:093) (SP)  

  • Discuss e-compliance issues in banking services (BL:091) (SP)  

  • Discuss legal considerations in the finance industry (BL:133) (SP)  

  • Discuss the role of the Federal Reserve system in banking operations (OP:276) (SP)  

  

Banking Services & Daily Operations (15 test items)  

  • Describe types of personal banking products and services (PD:154) (CS)  

  • Describe types of banking products and services provided exclusively to businesses (PD:423) (CS)  

  • Discuss procedures for the secure handling of cash (OP:217) (CS)  

  • Discuss the secure handling of checks (OP:218) (CS)  

  • Describe crimes to which a bank could fall victim (e.g., fraud, robbery, phishing) (OP:220) (CS)  

  • Discuss the elements and role of a bank security program (OP:221) (SP)  

  

Loans & Credit (10 test items)  

  • Explain the purposes and importance of credit (FI:002, LAP-FI-002) (CS)  

  • Discuss the nature of loan products (PD:155) (SP)  

  • Describe the loan application generating process (OP:277) (SP)  

  • Explain the process of credit analysis (OP:278) (SP)  

  • Describe factors affecting loan pricing and loan structuring (OP:279) (SP)  

  

Customer Relations in Banking (10 test items)  

  • Explain the responsibilities of finance professionals in providing client services (CR:012) (CS)  

  • Discuss the importance of meeting and exceeding customer expectations (CR:015) (CS)  

  • Describe the relationships that institutions providing banking services have with their communities (CR:020) (SP)  

  • Describe basic teller performance standards (PD:207) (CS)  

  • Describe the importance of selling in the banking industry (PD:298) (CS)  

  

Professional Development in Banking (10 test items)  

  • Discuss considerations in selecting a financial-services provider (FI:076) (CS)  

  • Explain career opportunities in banking services (PD:285) (SP)  

  • Discuss employment opportunities in the finance industry (PD:152, LAP-PD-152) (CS)  

  • Discuss professional designations for banking professionals (PD:286) (SP)  

  • Describe the services of professional organizations in banking services (PD:287) (SP)  

  • Discuss ethical issues in the banking industry (PD:192) (SP)