How Checking Accounts Work
Account Service and Offerings
Keeping Track of Financial Transactions
Reconciling Your Account Records
Vocabulary
100
The Payee
Who is the person or business to whom the check was written.
100
A line of credit for overdrawn checks
What is Overdraft Protection
100
Who are the three parties on a check?
What is payee, drawer, and drawee
100
What is the first step to reconciling your account?
See whether the bank has processed all of your checks and deposits.
100
Allows electronic transfers of payments directly from the payers account to the account of the person being paid.
What is Direct deposit
200
Customers who write a few checks each month and do not keep a minimum amount of money in the account.
What is Regular Checking Account
200
An order for a bank not to cash a particular check.
What is Stop Payment
200
A checkbook log in which an account holder records checking account transactions.
What is Check register
200
You should subtract the the total dollar amount of outstanding checks from the balance shown on the ______________.
What is bank statement.
200
Bank card that immediately takes money from a checking account when it is used.
What is Debit Card
300
Earns interest on the balance for the depositor.
What is interest-bearing account.
300
Allows consumers to check account balances, transfer money, or pay bills at any time.
What is Online Banking
300
The signature of the payee on the back of the check.
What is endorsement
300
Make sure you are aware of any _________ _______ the bank might charge you.
What is service fees.
300
Checks that have been written but have not yet been cashed.
What is Outstanding checks.
400
Joint Accounts
What is Two people who are equally responsible for the account to write checks.
400
Two things you need to provide when opening a checking account.
What is Address, phone number, security question answer.
400
Give three safety tips you would give someone new to checking accounts.
Do not print or write your diver license, social security , telephone, or credit card numbers on checks. Keep checks, canceled checks, deposit slips, and bank statements in a safe place. Never leave your checkbook open and out. Check bank statements for anything unusual. Make sure your checks have security features. Destroy old documents that have your account number on them. Never make a check payable to cash.
400
If your account earns interest, you should _____ the interest shown on the bank statement to your check register.
What is ADD
400
Checks that have been cashed.
What is cancelled check.
500
True or False: You should compare checking accounts before choosing one.
True
500
What is a consequence of not having overdraft protection?
Banks may return checks for insufficient funds. Bank can charge a fee for the service. Businesses can charge a fee for returned checks.
500
What are potential consequences if someone does not record a transaction correctly in their check register?
You could over or underestimate your account balance, which might result in returned, or bounced checks.
500
What does reconciling your bank statement and check register mean?
Making sure your two balances come to an agreement.
500
The financial institution where the drawer has an account.
What is Drawee
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