Chapter 4: Megabyte Money

What is a debit card? How does it work? What are the features of it?

A debit card is a combination of an ATM card and a paper check and is connected to your checking account. It works by using a PIN number. It allows you to make purchases with it instead of writing a check.

Online Banking

Allows you to access, manage, and review your accounts 24/7.

Mobile Banking

Allows you to keep tabs on your accounts through a web enabled cell phone/mobile device for those who have online banking access. Same as online banking.

Electronic Commerce

Allows you to shop online and make purchases with a credit card, debit card, etc.

Vendor Payment Options

Electronic bill payments many times offered by your service providers. (NOT your bank.)

Stored Value Cards

Electronic equivalent of cash. Usually used on public transportation, at colleges/universities, and for prepaid telephone calling cards.

Online Bill Payment

Enables you to send a check in electronic form. Feature provided by your bank. Part of online banking.

Telephone Banking

Lets you conduct basic functions using a touch-type telephone. Same as mobile text banking.

Megabyte Money

Medium of exchange, frequently replacing currency and checks as a system of payment.

Regulation E

Provides that banks will not automatically pay ATM/one time, non-recurring debit card transactions if there are not enough funds and there will be no fees for these.

Electronic Funds Transfer (EFT)

Substitutes electronic signals for cash and checks. Makes megabyte money possible.

Check 21

The law allows the electronic exchange of check payment information.

Mobile Text Banking

Uses text messaging to find out basic information about your account.