Intro to Banking
True/false: Putting your money in a bank is safer than keeping your money at home.
TRUE
This type of card lets you borrow money that you must pay back later. This is a bank card that lets you purchase goods or services on credit.
CREDIT CARD
This term refers to how you track your spending and savings habits.
BUDGET
A loan used to purchase a home?
MORTGAGE
This is money you set aside for future needs or emergencies.
SAVINGS
A type of bank account where the funds you deposit can be used to do routine transactions like make purchases or pay bills.
CHECKING ACCOUNT
True/False: A credit card is a type of bank loan.
TRUE
This term refers to costs that stay the same every month, like a car loan or cell phone bill.
FIXED EXPENSE
True/false: You have to be a certain age to purchase a home.
FALSE
This is using money to try to make more money over time.
INVESTING
A type of bank account that provides a way to save money while earning interest to help your money grow.
SAVINGS ACCOUNT
True /false: Paying your bills on time will increase your credit score.
TRUE
This digital service allows customers to manage their bank account using a mobile app or desktop.
ONLINE BANKING
Money that a home borrow pays up front in order to secure a mortgage down payment?
DOWN PAYMENT
True/False: You need to have a job to start investing.
This is when your paycheck goes straight into your bank account.
DIRECT DEPOSIT
True/False: A customer with a lower credit score will pay a lower interest rate on their credit card balances each month.
FALSE
This is money you earn by having money in a savings account.
INTEREST
True/False: A mortgage must be paid back in 30 years.
FALSE
This is a reason people invest instead of only saving.
GROW WEALTH FASTER
This term is used to describe when you spend more money that you have in your checking or savings account
OVERDRAFTING
This is a number banks use to determine the likelihood of a customer paying back their loan.
CREDIT SCORE
True/False: All bank accounts earn interest?
FALSE
The word that describes the amount of time a home loan will be paid over?
TERM
This concept explains why starting early with money matters.
COMPOUND INTEREST