Embed Size (px)
Citation preview
Do Now:
Banking Basics
By the end of this block you should have an
understanding of personal banking services and how
they can benefit you
You will learn more about•Types of Services provided by Banks•Different Types of Banks - (Financial Institutions)•How to select a financial institution•How to open an account•Banking Products, Services and Fees•How a Debit Card is tied to Checking/Savings Account•How that Debit Card works
So, what types of services do banks offer?
So, what types of services do banks offer?
So, what types of services do banks offer?
So, what other types of services do banks offer?
Advantages of Checking & Savings Accounts
Banks
•Banks are financial institutions that take deposits, engage in lending and operate for a profit.•Banks offer checking and savings accounts to the general public.
Credit Unions
•Credit Unions are financial cooperatives that are owned by and serve individuals with common affiliation.•For example, a workplace, church, employees union, etc.
•Credit Unions offer checking and savings accounts to members.•Example, ABCO Federal Credit Union
Checking Accounts
Online Banking - (Internet Banking)
Safe Online (Internet) Banking
• Make sure the institution is legitimate (do your homework and research)•Create a strong password (avoid birthdays, 1234, pet’s name.) Should have at least 8 numbers and characters (both upper and lower case)•Keep your ID and Password private
Safe Online (Internet) Banking
Keep Your Checking Account Fees “In Check”!
•Shop around for free or low-cost checking accounts•Some banks offer:•e-Accounts•Student Accounts
Debit Cards
Debit Cards-cont.•You can use that Debit Card at most retailers through a Point-of-Sale (POS) terminal.•Wawa, Hollister, Target, Shoprite
•You may be asked to sign a receipt because the card is often treated like a credit card (VISA logo)
Savings Accounts Earns Interest
•Interest is paid by a bank when you keep your money in a savings account.•Savings Products•Statements – You maintain records•Savings Deposits•Savings Withdrawals
Opening an Account•Questions to ask:•What is the minimum amount needed to open an account?•Is there a monthly fee?•Is there a way to avoid (or waive) the monthly fee?•How many checks can I write a month?
Opening an Account-cont.•Questions to ask:•Do you have free online banking?•Are there ATM fees?•What happens if my balance falls below the minimum balance requirement?•What is the cost a returned (or bounced) check?
Required Documents•When you go to the financial institution or open account online you must provide:•Photo identification, such as a driver’s license or passport•Proof of your address, such as a utility bill or lease agreement (think of New Jersey’s Six Points System of ID to replace or get your Driver’s License)•Your Social Security number for tax purposes
