Key Words
What is a loan?
A sum of money borrowed from a financial institution and paid back with interest over a period of time.
Who regulates the financial institutions in Ireland?
Central Bank of Ireland
What is a digital-only bank?
A bank that has no physical branches and only operates online or through an app.
What is a credit union?
A credit union is like a bank, but it is owned by its members instead of big businesses.
What is foreign currency exchange?
Foreign currency exchange is the process of changing one country's money into another country's money.
What is a credit card?
A card that lets you borrow money to buy things and pay it back later, often with interest if not paid on time.
Where is the Central Bank of Ireland located?
Dublin
What is a mobile payment platform?
A service like Apple Pay, Google Pay, or PayPal that lets people send and receive money using their phone.
How is a credit union different from a bank?
A credit union is not-for-profit and helps its members, while banks are businesses that try to make money.
Why would someone need to exchange currency?
People exchange currency when they travel to another country or do business with people in other countries.
What is an overdraft?
When you spend more money than you have in your bank account, and the bank lets you borrow the extra amount (sometimes with fees or interest). Set limit eg. €500
What is one important role of the Central Bank of Ireland?
Promote stability, regulate institutions, solve financial difficulties, protect consumers, provide advice
What are wearable payment methods?
Devices like smartwatches or rings that let people pay for things by tapping them on a payment reader.
Why do people join credit unions?
Credit unions often offer lower loan interest rates, better savings rates, and fewer fees than banks.
What is an exchange rate?
The exchange rate is the price at which one currency can be exchanged for another currency, like how many euros you get for one dollar.
What is a direct debit?
A way to pay bills automatically from your bank account, where a company takes the money on a set date.
How does the Central Bank of Ireland help keep the economy stable?
It supervises banks, controls money supply, and works to prevent financial crises.
What is cryptocurrency?
A type of digital money, like Bitcoin, that doesn’t need banks and is stored using special technology called blockchain.
What kinds of services do credit unions offer?
Credit unions offer loans, savings accounts, checking accounts, and credit cards to their members, just like banks.
How do exchange rates affect the cost of products in different countries?
If the exchange rate is high, products from another country will cost more. If it’s low, those products will cost less.
What is a current account?
A bank account used for everyday money, where you can deposit, withdraw, and spend money easily. (Non-interest)
Why is the Central Bank of Ireland important for the economy?
It helps keep banks safe, controls the amount of money in the country, and helps stop big financial problems.
How could digital-only banks and cryptocurrency change the future of banking?
They could make banking faster, cheaper, and more accessible, but also create risks like hacking, fraud, and less personal customer service.
What happens to the profits a credit union makes?
Instead of going to business owners, the profits are shared with members through better services, lower loan rates, and special rewards.
How can governments influence exchange rates?
Governments can influence exchange rates by changing interest rates, using monetary policy, or buying and selling currencies to keep their economy stable.