Banking Terms
Who is the Payor/Payer?
The person who writes the check.
The money owed on a loan or earned on savings.
Interest
If you like to take out money a lot, what account fits you?
Checking account
An interest rate on a loan that fluctuates over time.
Variable Rate
The money in your accounts
Balance
The ______ will insure bank accounts for up to ______.
CDIC $100,000
Automatically depositing a paycheck into a bank account using electronic funds.
Direct deposit
A line of credit offered by banks to their customers if they make a purchase for something that costs more than the amount of money they have in their account.
Overdraft Protection
How many and what kinds of documents do you need to open a bank account?
2 to 3 - Photo ID and proof of address, SIN#
What other names is a debit card known as?
Bank Card, ATM Card
A service provided by many credit card issuers allowing cardholders to withdraw a certain amount of cash through an ATM or bank.
Cash advance
Can a student at the high school have a checkings account?
Yes
A type of savings account that offers a more competitive interest rate than a regular savings account.
Certificate of Deposit/GIC
What is a charge for using service the bank provides?
service charge/fee
Your income after all taxes and withholdings have been accounted for.
Net pay
A payment type that is paid for upfront and guaranteed by the bank not to bounce.
Banker’s Check
The minimum dollar amount that a customer must have in an account to receive services.
Minimum Balance required
A check that cannot be processed due to insufficient funds
Bounced check
The most responsible way to pay off a credit card bill is to pay the ______ you can every month.
a. minimum
b. most
most
How does a good checkings account help a young person?
It helps his/her credit.
Money left over after all your fixed and variable expenses have been paid for.
Surplus
A computer-based system that moves money from one account to another without using cash or writing a check.
Electronic Funds transfer