Unit 7: Banking

What are the features of a check?

The date the check was written, Payee, the person or company receiving payment, the amount of payment(IN NUMBERS), memo(description of payment) that's optional, Payer's signature, routing number used to identify the financial institution that holds the account funds, checking account number and check number(upper right corner) on a check.

When you open a bank account you have too..?

Track your balance, check your account regularly, safe guard your acc. info, ensure that check you deposit won't bounce.

How do you write a check?

You write a check in a pen ALWAYS, write in cursive.

What is a EFT?

an electronic message tells a computer to move money from one back account to another; with that banks can transfer small or massive amounts of money in an instant, without cash or paper ever changing hands.

What is online banking?

is the ability to the bank and process transaction electronically either online or with your moblie phone and has revolutionize how we bank.

What are the different types of signatures on a check?

Blank Endorsement(sign name on the back of the check), Restricted Endorsement(for DEPOSIT ONLY) and Special Endorsement(name on check, but signing it to someone else.

What are some services that banks and credit unions provide?

Both banks and credit unions offer many services to include, checking accounts, saving accounts, saving accounts, loans, CD's and safe deposits.

What is the difference between a credit card and a debit card?

Credit cards: issued by a credit card company, used for credit transaction, limited line of credit to the customer(LOC) Debit cards: issued by a bank or credit union, connected to your bank account, no limits on it, can be used as a debit or credit transactions and get fees like overdraft fees and debit fees.

What are debit cards?

It acts more like a check, limiting your spending to whatever amount of money is in your bank acc. at that time, to use a debit care you have to enter a PIN( personal identification number) to use a debit transaction and they charge overdraft fees.

What are some benefits of a checking account?

Keeps money safe, pays interest, allows your employer to automatically deposit your pay check into your account.

What's the difference between banks and credit unions?

Banks are for profit, owned by it's investors and paid; board of directors runs the bank. FDIC(Federal Deposit Insurance Corporation) insures customers money if bank goes out of business. Money up to 250,000. Credit Unions are NON profit, owned by it's members. NCUA(National Credit Union Adminstration), money up to 250,000.