Banking Basics
What is To facilitate the flow of cash?
A checking account designed for two or more people
What is joint?
Major difference between checking and savings accounts.
What is lower interest rates for checking than savings
This type of loan is used to fund inventory, payroll, or business projects
What is a business loan?
Debit card accesses money through this
Central Bank of the United States
What is the Federal Reserve Bank?
This account is designed for business owners
What is a business account?
Major characteristic of a personal loan
What is once paid off, account is closed?
Business plan (5 parts of the business plan)
Name the major difference between a debit and credit card.
This type of account makes it easy to access money through withdrawls, money for deposits, and daily transactions
What is a checking account?
Purpose of a savings account
When investing money, this is good. When borrowing money, this is bad.
What is interest?
This loan is needed to purchase real estate
What is mortgage loan?
Purpose of a credit card
What is to borrow money up to a certain limit
What is the routing number?
Financial people say we should have enough of this___________to cover for ______________ months
Automobile, van, or other vehicle for transportation would need this type of loan.
I can use this type of loan to borrow against the value of my home. Commonly used for major projects like education or kitchen/bathroom remodel
What is home equity loan?
The electronic movement of money from one account to another.
Consumers should look at these when comparing checking accounts
If a minor wants to open an account, this is needed
a guardian/parent/custodian
Reason for wanting a lower interest rate as a borrower.
"What is paying less back on the loan"?
There are a few things that must be considered when considering taking out a loan
What are monthly payments, rates, and terms?
An EFT service that allows a paycheck to be directly deposited into an account?
What is direct deposit?