Vocabulary
After getting her birthday money, Mia went to the bank to make a(n) ....... into her savings account.
Deposit
A(n) ...... is a monthly charge that some banks take from your account just for having it open.
Maintenance Fee
How can the strategy of "Pay Yourself First" help you save money?
It makes saving a priority, because you set aside money for savings before spending on anything else.
You can transfer or withdraw money from your savings account up to 12 times per month.
TRUE OR FALSE?
FALSE
This account is best for everyday spending.
Checking or savings?
Checking
A(n) ..... lets you safely store money for everyday spending. You can easily access it with a debit card or check.
Checking Account
To avoid a fee, some banks require you to keep a(n) ....... in your account at all times.
Minimum Balance
Why is it important to set short- and long-term savings goals for yourself?
Short term goals help you save for things you want soon.
Long term goals help you work toward bigger things in the future.
If your savings account is FDIC insured, then the federal government will insure up to $250,000 of the money in your account in case the bank fails.
TRUE OR FALSE?
TRUE
This account typically earns a higher interest rate and is best for storing funds in the future.
Checking or Savings?
Savings
When interest is added to both your original money and the interest it earns, it's called .......
Compound Interest
Before spending any money, Malik puts $20 into his savings because he believe in the rule to ......
pay yourself first
Jalen wants to buy a bike so he can ride to soccer practice next spring, which is 8 months away. He finds a good quality bike on sale for $320 at a local shop.
- How much does Jalen have to save every month to buy it?
$320/8 months = $40/month
Online-only savings account tend to have lower interest rates than traditional accounts.
TRUE OR FALSE?
FALSE
With this account, you get a debit card.
Checking or Savings?
Checking
Jalen set aside $300 in a(n) ..... so he could pay for unexpected car repairs.
emergency fund
A(n) ....... helps you grow your money by earning interest over time, especially when you don't need to spend it right away.
Savings Account
Jalen wants to buy a bike so he can ride to soccer practice next spring, which is 8 months away. He finds a good quality bike on sale for $320 at a local shop.
- How much is it per week?
$40/4 weeks = $10/week
Laila is 14 and wants to open a savings account to deposit money she's earned from babysitting.
What are TWO thing she should look for in the account?
Age limits, no monthly fees, no minimum balance requirement, how can she access her money (ATMs or online-only account?), Interest rate
You have ATM access with this account.
Checking or Savings?
Checking.
FDIC
A bank ...... shows your deposits, withdrawals, and balance for the month.
statement
Jalen wants to buy a bike so he can ride to soccer practice next spring, which is 8 months away. He finds a good quality bike on sale for $320 at a local shop.
- How much is it per day?
$10/7 days = $1.43/day
What are TWO things someone will need to open the account?
Social security card or number, evidence or physical and mailing address, identification, initial deposit.
This account has limited withdrawals per month.
Checking or Savings?
Savings.