Money Management U10

Barter

act of trading goods or services between two or more parties without the use of money or monetary medium, such as credit card 

Mediums of Exchange

portable instrument used as an intermediary to facilitate the sale and purchase of goods between parties  

US Department of Treasury-

national treasury and finance department of federal government of United States, serves as an executive department. 

•  oversees Bureau of Engraving and Printing and U.S. Mint 

• manages Federal finances by collecting taxes and paying bills and by managing currency, government accounts and public debt 

US Mint

responsible for producing coinage for United States to conduct trade and commerce, controlling  movement of bullion. 

Bureau of Engraving and Printing.

produces paper money

Banks

are for-profit institutions  

safe place where people store their money, also lends money to people or businesses 

• make money by providing and earning interest from loans- mortgages, auto loans, business loans, and personal loans 

• Customer deposits provide banks with capital to make these loans. 

 

Credit unions

not-for-profit and distribute profits among its members 

FDIC (Federal Deposit Insurance Corporation):

one of two agencies provide deposit insurance to depositors in U.S. banks 

NCUA (National Credit Union Administration)-

regulates and insures credit unions. 

1933 Banking Act into law.  

Enacted during Great Depression to restore trust in American banking system. 

Debit cards-

spend money by drawing on funds you have deposited at bank

Credit cards

• borrow money from card issuer up to a certain limit to purchase items or 

withdraw cash. 

Overdraft protection-

• agreement w/ bank or financial institution to cover overdrafts on a 

checking account.  

typically involves fee and is generally limited to preset maximum amount.

Loan

thing that is borrowed, especially sum of money that is expected to be paid back w/ interest (APR-annual percentage rate). 

Types of loans

secured, unsecured, fixed-rate, variable-rate, debt consolidation, co-sign, personal line of credit. 

Checking Accounts- 

account at bank against which checks can be drawn by account depositor. 

Check Register: 

record of cash and check transactions in checking account, consisting of columns and rows that show its current balance. 

• Blank Endorsement

 

made by signing your name on back of the check.  

• must sign it exactly the way it appears on  “Pay to the Order of” line. 

•  Anyone can cash or deposit a check w/ blank endorsement 

• only do blank endorsement if you are cashing check, and don’t sign until you are at financial institution. 

 

Restrictive endorsement

made by writing “For deposit only” on first line of back of check then signing your name underneath.  

• check w/ restrictive endorsement only be deposited into account in your name.  

• Some financial institutions prefer you write your account number on check to make it easier to process.  

• Others see as security risk, and ask not to write account number on check. 

Special endorsement

check is signed w/ special endorsement when you want to give your check to another person. 

• different from blank endorsement in that check can only be cashed or deposited by person you are assigning check to.  

• To do special endorsement- write “Pay to the order of [name of person you are giving check to]”, and sign your name underneath. 

Deposit Slips 

 form supplied by bank for depositor to fill out, designed to document in categories items included in deposit transaction 

Savings Account 

deposit money, keep it safe, and withdraw funds, while earning interest 

 Interest

• money paid regularly at particular rate for use of money lent, or for delaying the repayment of 

a debt