Types of financial institutions

Depository Institution

A business that offers banking and finance services, such as savings and investing tools

Credit Card

A card used for payment through credit with interest accruing

Share certificate account

A certificate of deposit at a credit union

Share Draft Account

A checking account at a credit union

Saving and Loan association

A financial instituion that provides loans and mortgages to customers who hold a saving acount

Commercial Bank

A full-service financial institution that offers a variety of services

Brokerage firm

A licensed institution that specializes in investing

Mortgage

A loan to purchase a home or other real estate

Retirement Plan Account

A plan for saving money for retirement; money tax-deferred until withdrawn

Safe-Deposit Box

A secured box in a bank used by clients for valuable personal items

Savings Account

An account you have at a financial institution that helps you accumulate and save money and earn a small amount of interest at the same time.

Certificate of Deposite

An insured interest-earning savings tool with restricted access to funds.

Financial Counseling

Assistance to consumers with specific areas of financial planning

Loan

Borrowed money

Mutual Fund

Groups of stocks, bonds, and other investments managed by an investment firm

Mobile Banking

Many banks now offer access to financial & account information, the ability to transfer funds, and receive alerts on digital cell phones, smart phones, and PDAs.

Contactless Payment

No physical connection is required between payment device and the point-of-sale (POS) terminal or store clerk to complete a transaction

Insured financial institution

One that is insured--- as by Federal Deposit Insurance Corporation (FDIC), Savings Association Insurance Fund (SAIF), or National Credit Union Administration (NCUA) to protect deposits of clients

Stock

Ownership in a company

Checking Account

Paper checks or debit cards are used to withdraw money deposited into the account to pay for items

Interest Rate

Percentage of amount borrowed to be added to the amount loaned and paid back

Real Estate Investment

Purchasing properties as an investment to gain profit

Online Banking

Using the Internet and a banks website to keep track of band accounts, moving money from one account to another, and paying bills.

Commercial Bank

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

Automated Teller Machine (ATM)

a machine that lets you access your bank account at any time

Credit Union

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

Share Account

a savings account at a credit union

Checking Account

an account in which deposited money can be withdrawn at any time by writing a check

Bond

an investment of money in a government or organization

Debit Card

card directly connected to the holder's bank account; allows holder to withdraw against deposits without physically writing checks; in some cases may also be used in place of a credit card

Savings Account

money is deposited into an account to earn interest

Interest

the price paid for the use of borrowed money