ECON - Ch5.1- Chapter 5 - Banking - Section 1 - Financial Services & Institutions

What are the types of electronic banking services available?

ATM, Point of Sale Transactions, stored value cards, electronic cash.

Direct deposit

a direct deposit of net pay to an employee's designated bank account.

Savings and Loan Association (S&L)

is a financial institution that traditionally specializes in savings accounts and mortgage loans but now offers same service a commercial bank.

Commercial Bank

is a for profit institution that offers a full range of financial services including, checking, savings, and lending.

Credit Union

is a nonprofit institution that is owned by its members and is organized for their benefit.

What are the three main categories offered by financial institutions? Savings

payment services, and borrowing.

Which institutions fall under the category of deposit institutions?

Commercial Banks, Savings and loans, and credit unions.

Which institutions fall under the category as non-deposit institutions?

Life insurance companies, Investment companies, finance companies.

Debit card

is a cash card that allows a consumer to withdraw from a checking or saving account to pay for purchases or to obtain cash.

Automated Teller Machine (ATM)

is a computer terminal that allows a withdrawal of cash from an account.

Point of sale transaction

is a purchase of a debit card by a good or service at a business.