Banking/ Checking Account
What are 3 benefits of using a bank?
1. Money is safe and secure
2. You can make money using interest
3. Less risk of losing money
You have written a check to pay someone, what will happen to your check register balance?
It will decrease
People who are unbanked are likely losing money because?
They incur fees at check cashing places so they can access their money
A withdrawal is a ______ to your bank account.
A debit card is generally associated with which type of bank account?
Checking account
What is a benefit of direct deposits?
Your paycheck is directly deposited into your account and you do not have to go to the bank to deposit your check
What is a check register?
Is a record of transactions in a checking account
What is the most common fee people experience with checking accounts?
Overdraft fees
A credit to your bank account is called a _____.
Deposit
Give 2 examples of a third party app
1. Venmo
2. Paypal
3. Cash app
What are 4 requirements to opening a checking account as a minor?
Opening Deposit, proof of address, ID, guardian
What are the 4 pieces of information on a personal check that will pre-populated for you?
1. Name & address
2. Check #
3. Routing Number
4. Account Number
What is overdraft protection?
A feature offered by banks that allows checks and other debit transactions to clear even if your account lacks sufficient funds
When you have a withdrawal from your account, how would you calculate your new balance?
You would subtract the withdrawal amount from the previous balance.
You use your debit card at the movie theater. You are prompted to choose debit or credit on the machine and you accidentally choose credit. What will happen?
How would you define a checking account?
A place to store your spending money and an account that allows your money to be easily accessible
Your previous balance was $100. On 1/2 you use your debit card at the grocery store to pay for $30 worth of groceries. What would this transaction look like on your check register?
Date: 1/2
Check #: DC
Description: Grocery Store
Withdrawal: 30
Balance: $70
What does it mean when a bank has high to low transaction re-order? What is the risk?
Your bank is re-ordering your withdrawals from high to low. This risks you overdrafting faster.
What are 4 ways you can deposit money into your account?
2. ATM
3. direct deposit
4. mobile deposit
5. third party app (person-to person)
Why might someone want to use a prepaid debit card?
It allows them to keep track of their spending and not overspend
What are the 5 benefits of online and mobile banking?
1. You can access it 24/7
2. You can set notifications & alerts
3. Convenience
4. You can deposit using a mobile app
5. You can check your transactions as often as you'd like (it is easy & efficient)
What are the steps to fill out a check?
1. Write the date
2. Fill out the pay to the order of line
3. Write the amount in number form
4. Write the amount in word form
5. Fill out the memo/for line (what its for)
6. Sign it
List at least 5 potential fees a person might encounter while banking.
1. Monthly Maintenance Fee
2. Overdraft Fee
3. Balance Transfer Fee
4. Minimum Balance Fee
5. ATM Fee
6. Foreign Transaction Fee
What is the benefit of keeping a receipt after a purchase?
It allows you to have a paper trail of your transactions (physical proof)
What are 4 payment methods?
1.Person to person
2. Debit card
3. Credit card
4. Prepaid card
5. Cash
6. Check