Checking Accounts
What are ways to deposit money into your bank?
Atm, online banking, in-person banking, direct deposit
What is compound interest?
Earning interest on the interest you earned.
What does it mean to be unbanked?
Someone who does not own either a checking or savings account with a banking institution.
What is living Paycheck to paycheck?
Spending as much money as you earn every month.
Having little or no money for savings left over from your paycheck after covering your regular expenses.
How do you determine your net worth?
By adding all your assets minus your liabilities.
The sheet that the bank sends you each month.
What is Bank statement.
What is the difference between checking and saving accounts?
Checking accounts is money to be spent.
Savings accounts is money to be saved, that earn interest.
Who is most likely to be unbanked?
Unbanked rates are higher among lower-income and younger adults.
What is the recommended amount of money you should save?
Roughly 20% of your income. For example, 20% of $100 equals $20
What is a 401k?
A retirement plan set up by the US government and your employer.
What are two advantages of having an account at a community bank vs. a national bank?
Community banks usually have lower fees.
Community banks give back to their local communities
How does the age that a person starts saving impact the amount they can earn in compound interest?
The earlier you save the more interest you earn resulting in the more compound interest earned.
What is a Title loan?
A loan based on the value of your car. You give the title to the loan company as a safety for the company.
What percentage of American’s live Paycheck to Paycheck?
Roughly 76%.
What is inflation?
Rise in average cost of goods/services over time.
What is the FDIC and how does it protect the consumer?
FDIC The Federal Deposit Insurance Corporation. Your money is insured up to $250,000 by the government.
What percentage of Amercians couldn’t not pay a surprise 400$ bill, due to a lack of savings?
What is 32%.
What is a debit card and how do you use it?
Debit cards is a card that issued by a bank, that allows you to take money out of your checking account.
It also allows you to buy things without cash.
Why is living paycheck to paycheck bad?
It's difficult or impossible to save or invest money.
You may have to borrow money to pay your bills
It may result in putting big expenses on a credit card.
One paycheck away from possibly being homeless.
What is unemployment?
When an individual who is not employed and is seeking employment, cannot find work.
What is the dollar amounts that you see on a bank statement?
Your balance, deposits, withdrawals, and dates the entries occurred.
What are the four most popular savings accounts?
Traditional savings account, money market deposit accounts, certificates of deposit, U.S Savings bond.
What is a Check Cashing store? And who typically uses these types of stores?
A place where you can cash checks and pay bills.
People who usually does not have a checking or savings account.
Why is living paycheck to paycheck such a stressful lifestyle?
Stress about money can undermine a person's sense of self-worth, making them feel worthless and like their lives are pointless — this can lead to clinical depression, even suicidal thoughts and behaviors.
True or False: There are over 7 million people unemployed in the U.S.?
There are 7.163 million people in the US unemployed as of Jul 2024.