Banking Terms
The transaction of adding or putting money into an account.
What is a Deposit?
You should always spend more money than you have.
FALSE!
What are TWO parts of a check?
The address, the name, the account name, the account number, the memo line, the pay to order line, the money written out, the signature line.
Charge applied when a transaction from an account exceeds the accounts available balance.
What is Overdraft?
Housing
What is a Need?
The transaction of taking money out of an account?
What is a Withdrawal?
Interest is always a good thing.
FALSE
Who should know your ATM PIN?
Only you should know your PIN.
Mandatory fees required by governments.
What are Taxes?
The name for a plan for how to save and spend money?
What is a Budget?
Rent is a fixed expense.
TRUE
What is a checking account used for?
An account for every day expenses.
A charge applied to your bank account when withdrawing cash from a machine that isn't connected to your bank.
What is an ATM fee?
What is the name given to the cost of borrowing money or the profit earned on a savings or investment account?
What is Interest
The two parts of a budget are income and savings.
FALSE
Why is it important to make a budget?
A budget helps plan your spending.
A fee charged when a bank account doesn't have enough money to cover an automatic payment or check that was written and the bank returns the transaction unpaid.
What is a Non-sufficient Funds fee?
Kitbag for school
Need
What is it called when you use money that you can pay later?
Credit
It is recommended to have 6 months worth of expenses saved up for an emergency fund.
TRUE
Why is it important to be careful when using credit cards? Explain your answer.
They use borrowed money, not your actual funds. Misusing them can lead to rapid debt, high interest charges, damaged credit scores, and financial stress
A fee charged when moving large amounts of money from one bank account to another or moving money internationally from one bank account to another.
What is a Wire Transfer fee?