Depository Institution - 1
Define depository institution
businesses that provide financial services
Banks typically CHARGE higher or lower interest rates than credit unions?
Higher
What contains the checks and the register to track monetary transactions?
Checkbook
Provide an example of when you would need to place your signature on a deposit slip
When you are receiving cash back
An income and expense statement that records both planned and actual income and expenses over a period of time is known as what?
Spending Plan Budget
The TWO types of depository institutions we talked about the most in this unit were?
Commercial Banks and Credit Unions
Banks
This is known as a place where we can immediately record all monetary transactions from a checking account
Checkbook Register
True or False: When writing the amount of a check in words, we need to be sure and include the word "dollar" in out amount
False
True or False: Not everyone's expenses will be the same
True
Which depository institution typically offers more services?
Bank
An individual account held at a depository institution is insured up to what amount?
$250,000
How many different types of endorsements did we cover in this unit?
Three (3)
By using a checkbook register, we can keep a current ____________ of our checking account.
Balance
An expense that is required for a specific amount of time, not easy to reduce or eliminate is known as what?
Contractual
Commercial banks are
A) For Profit
B) Not for Profit
A) For Profit
FDIC insures which of the two types of financial institutions that we discussed?
Banks
This type of endorsement allows the check to be transferred to a second party.
Special Endorsement
A check that has been written but has not shown up on a bank statement is known as a what?
Outstanding Check
At the end of the budget, if your expenses have exceeded your income, you have a net ______.
Loss
Credit Unions typically PAY higher or lower interest rates than banks?
Higher
What is the price paid for using someone else's money?
Interest
What contains the account holder's account numbers and allows money to be deposited into the correct account?
Deposit Slip
If you have an outstanding deposit, what would that do to your bank statement balance?
Increase the balance
Provide 2 of the 4 ways to develop a spending plan. We talked about all 4 of these in class
Paper and Pencil, Spreadsheet, Computer Software and Applications