Savings
The cost of borrowing money
What is interest?
Changing your passwords often; using two-factor authorization are two examples of this
What are ways to protect yourself from fraud?
This business acts as a financial intermediary by accepting deposits from savers and using those funds to make loans to borrowers.
What is a bank?
A charge from a financial institution for keeping a bank account, like a checking or savings account, open
What is a monthly maintenance fee?
They are owned and operated by their members.
What is a credit union?
How do market conditions affect savings accounts?
They influence interest rates
A scam to steal information
What is phishing?
Savings and checking
What are the types of accounts a bank offers?
How can you plan your spending in a given month, including needs, wants, and savings?
Budgeting
These typically offer higher fees.
What is a traditional bank?
A deposit account held at a financial institution that allows you to set money aside, earn interest, and provides safe, secure storage for funds not needed for daily transactions
What is a savings account?
When someone uses your personal or financial information, such as your name, Social Security number, or credit card numbers, without your permission to commit fraud
What is identity theft?
A service that allows a bank's customers to conduct financial transactions using a mobile device
What is mobile banking?
Do this to prevent financial fraud, avoid overdraft fees, track spending habits, and ensure account accuracy
Monitor your checking account
This institution typically offers better savings rates.
What is a credit union?
A savings account that offers a fixed interest rate for a specific term, such as six months to five years, in exchange for the agreement that you will not withdraw the money before the term ends
What is a Certificate of Deposit (CD)?
Identify theft; Limited wifi; No computer; Fraud
What are risks of online banking?
A U.S. government guarantee that protects depositors' money, up to $250,000 per depositor
What is FDIC insurance?
A service that enables recurring, scheduled payments from a customer's bank account to a company
What is an automatic bill payment?
Branch and ATM locations, customer service, fees, interest rates, and services available
What to consider before choosing a traditional bank or credit union?
This account is a type of savings account that offers a significantly higher interest rate, or Annual Percentage Yield (APY)
What is a high yield savings account?
A social security number or driver's license number, date of birth, ZIP code
What is a key advantage of mobile banking over traditional banking?
24/7 accessibility/ ease of access
This type of account can be used every day to purchase goods and services.
What is a checking account?
What is the main difference between a bank and a credit union?
Banks are for-profit institutions while credit unions are non-profit and member-owned.