Accounts
Name the two types of accounts you can have at a financial institution.
What are checking and savings accounts?
Name the two types of financial institutions.
What are banks and credit unions?
Name the 4 types of cards you can have.
What are credit cards, debit cards, ATM cards and pre-paid cards?
An account that is a safe place to keep your own money.
You can withdraw your money through an ATM or at the institution the account is held.
These accounts usually earn interest over time on the funds left in the accounts.
What is a savings account?
Money is safe
Balances can grow over time
Build a relationship with a bank or credit union
Many ways to pay for things
What are the pros of having your money in a financial institution?
These cards can ONLY be used at an ATM machine, not a store. They don’t have Visa or MasterCard logos on them.
What is an ATM card?
An account into which you deposit your own money.
You can withdraw your money through an ATM, writing checks or using a debit card and are allowed more transactions than a savings account.
These accounts usually earn very little to no interest on the funds left in the accounts.
What is a checking account?
Fees add up if you aren't careful
Might be harder to access money
What are the cons of having your money in a financial institution?
Borrow money to make purchases. Can pay back over time with interest.
What is a credit card?
Online banking
ATM
Mobile App
Telephone banking
What are ways you can check your balance?
Ask questions before you open an account
Get a copy of the fee schedule
What are things you should do BEFORE you open and account?
Use money from Checking to make purchases in stores or online
What is a debit card?
Name 3 types of savings accounts.
What are CDs, money market accounts and club accounts?
The money you are charged when you use more than you have available, but the transaction is covered anyway.
What is an overdraft fee?
Cash can be loaded on to a card that looks and acts like a debit card but is not the same
Most of these cards to do have a personal account with them and are not insured, so they are not as secure and usually much more expensive
What is a pre-paid card?