Budgeting Strategies
A popular rule of thumb that allocates income to necessities, saving, and flexible spending.
50-20-30 Rule
Your online account automatically waives all overdraft, ATM, and maintenance fees
FALSE
This allows you to make contactless transactions with businesses?
Digital Wallet
A check for which the bank guarantees payment and for which they charge a fee.
Certified Check
This is where your money comes from if you are at the checkout counter at the local supermarket and use your debit card to pay for your groceries.
Checking Account
Typically offers high interest rates for a standard savings account, but has no physical bank branches
Online Savings Account
You can set up online bill pay to automatically pay certain bills each month
TRUE
Taking a picture of your check using your mobile banking app is a way to do this.
Depositing a check
The rate at which the price of goods rises over time.
Inflation
This strategy guarantees you will be contributing to your savings.
Pay Yourself First
Typically offers high interest rates, but requires a minimum balance and offers limited ability to write checks
Money Market Account
Prepaid cards can be used anywhere you’d use a debit card, including online purchases
TRUE
With this type of account you may have more restrictions, such as a maximum of six withdrawals per month
Savings account
The amount of money a bank requires you to keep in an account to avoid a fee.
Minimum Balance
You might be considered this if you don't have enough money to meet minimum balance requirements, have excessive fees or have a lack of trust in banks.
Unbanked
Provides easy access to funds and has physical bank branches, but typically offers the lowest interest rates
Traditional Savings Account
Community banks typically have Higher fees and charges when compared to a national bank
False
Experts recommend that you accumulate enough to money to cover this timeframe of expenses in your emergency fund.
3-6 months
A consumer banking technology that allows you to schedule and make payments over the internet
Online Bill Pay
If you set up alerts, use in-network ATMs and maintain the minimum account balance required you could prevent this.
Bank fees or Paying Fees
Typically offers the highest interest rate, but restricts access to funds for a set period of time
Certificate of Deposit
Banks provide wire transfer services
True
This is how often customers typically receive a bank statement for their checking account.
Monthly
This check is drawn by the bank on its own funds and does not require a checking account.
Cashiers Check
Living paycheck to paycheck and having expenses that are higher than your income are challenges that could make it difficult to do this.
Save Money