Checking Accounts
A monthly document prepared by your financial institution which shows all of the transactions related to your account
Bank Statement
A fee paid to you for keeping your money in an account OR a fee charged to you for a loan or credit card
Interest
A term used to describe a person who does not use or does not have access to traditional financial services
Unbanked
What percentage of your income should you try to save?
20%
A consumer banking technology that allows you to schedule and make payments over the internet
Online Bill Pay
A written, dated, and signed order to the bank that tells it to pay a definite sum of money to a payee
Check
A type of savings account, typically offering higher interest rates, that is managed entirely online with no physical bank branch
Online Savings Account
A monthly fee that some banks charge to provide access to checking or savings accounts
Maintenance Fee
How many months of expenses should you try to save in an emergency fund?
3 to 6 months
Why should you avoid banking on public Wi-Fi
A card that is directly connected to your checking account; it enables you to conduct ATM transactions and to make purchases instead of using cash or writing a check
Debit Card
Provides easy access to funds and has physical bank branches, but typically offers the lowest interest rates
Traditional Savings Account
A fee that is charged if the number of withdrawals from your savings account exceeds the federal limit, which is six free withdrawals and transfers per month
Transaction Fee
A method of saving whereby you put a fixed amount of income into a savings account before you pay monthly bills or make purchases
Pay Yourself First
A digital payment method that allows you to transfer funds from your bank account to that of another person
Person-to-Person Payment
An automatic electronic deposit of net pay to an employee's designated bank account
Direct Deposit
A bank product that earns interest on a lump-sum deposit that's untouched for a predetermined period of time
Certificate of Deposit
Protection provided by the Federal Deposit Insurance Corporation; protects the deposits of customers against loss up to $250,000 per account
FDIC Insurance
What are two challenges that can make it difficult for people to save money?
List a pro and con of using peer to peer payment apps.
Pro: Quick transactions, convenience, privacy, generally free.
Con: Security risks, limited recourse, fees
To compare your bank's monthly account statement with your own records of activity for the same account
Reconcile
A type of savings account that may allow debit card and check writing privileges
Money Market Savings Account
A fee charged to your account when it lacks the funds to cover a withdrawal, but the bank allows the transaction to go through anyway
Overdraft Fee
In the popular savings 50/20/30 Rule, what does each percentage of your money go towards?
50 - necessities
20 - saving and debt payments
30 - flexible spending
An application that runs on mobile devices. It securely stores your payment information and passwords and allows you to pay for items without needing your physical cards.
Digital Wallet