Banking

How to manage your cash.

What can affect your long term fincancial goals?

buying a car, starting a bussines, or paying for college.

If money is put in a financial institution for over 1 month or a year is called…

a time deposit.

Provide 2 examples of a time deposit fund.

Certificate deposits, and savings account.

What is the most commonly used payment service?

checking account

Money you place in a checking account is called…

demand deposit

why is it called a demand deposit?

becasue you can withdrawl from it at any time or on demand.

What can you do if you need to borrow money?

using a credit card, taking out a personal cash loan,

If you need to borrow it for longer you should

apply for a mortgage loan or auto loan.

What are the pros of direct deposit?

saves time, effort, safer way to transfer funds.

What is a ATM?

Automated teller machines

Where are ATMs located?

banks shopping malls grocery stores sports arenas.

What is a debit card?

a cash card that allows you to withdraw money or pay for purchases directly from your checking or savings acccount.

What is a PIN?

personal identification number

What should you **NOT** use your PIN for?

online transactions businesses or anybody.

What shoud i do if my debit card is stolen?

notify your bank immediately.

What are the other 2 methods of payment?

credit card and checks

When evaluating the choices you should..?

re - evaluate your choices occacionally, you are able to find a institution that offers more services.

A commercial bank is…

a for profit-orginzation that has full range services.

What service does a commercial bank offer?

checking savings and lending.

What is a S&L?

savings and loan association

What services does a S&L offer?

specializes in savings and mortgage loans but now offers similar to commercial banks.

What is a mutual savings bank?

owned by depositers specialzes in savings account

What is a credit union?

a more non- profit financial institution

Who ownes the credit union?

owned by the members.

What services does a credit union offer?

checking, accounts, loans, credit cards, ATMs, self deposit boxes, and investment services.

What does a Life Insurance Company offer?

financial security for dependants

What features does a life insurance have?

savings and investment

What is a Pawnshop?

for moderate low - income families. used for obtaining cash.

are there cons of using pawnshops?

they charge higher fees.

Certificate of Deposit is…

a saving alternitive to earn a specific rate of return.