financial literacy: chapter 1

checking account

an account at a bank that allows a customer to deposit money, make withdrawals, and make transfers from the funds on deposit

check

a written electronic order telling the bank to pay money

electronic funds transfer (eft)

electronically moving money from one bank to another bank

payee

receiver of transferred money

drawer

the account owner

check clearing

what occurs when you have enough money in your account for a check to be paid

deposit slip

paper you fill out to the deposit withdrawal in person at the bank

direct deposit

when your payroll or government checks go directly to your account

ATM

24 hour access to banking services such as deposits and withdrawals

single account

individual owner accounts only one person can withdraw money

joint account

an account that has more than one person listed as the owner

insufficient funds

payee will not receive money

overdraft protections

plans that will pay for a check even if there is not funds might include a fee

credit

deposits of an account

debit

withdrawal of an account

check register

a record of all transactions