Banking Basics

Interest that is generated on money you put into an account plus the interest you make that money. In other words, you earn interest on your interest.

• Compound Interest

• Simple Interest

• Mutual Fund

• Interest Rate

Which type of account offers the least interest (if any)

• Savings Account

• Checking Account

• Certificate of Deposit

• Money Market

Not-for-profit, community based, but you must be eligible to join

• Brick and Mortar Bank

• Investment Firm

• Credit Union

• Cash advance

Helps with transactions like depositing or withdrawing money

• Customer service representative

• Loan officer

• Bank Manager

• Bank Teller

Used to store money for longer term goals, but not for retirement

• Savings Account

• Checking Account

• 401K

• Mutual funds

Savings accounts often have a limit on how many withdrawals you can make in a month

• True

• False

When money is withdrawn from a bank account (also known as ‘withdrawal’).

• Credit

• Check

• Debit

• Investment

PIN stands for

• professional investment number

• personal identification number

When you accidentally spend more money than is in your account

• Overdraft

• ATM

• Opps

• Savings

What is a financial institution?

• An institution that allows you to store your money

• An institution that provides services for its clients and members

• An institution that steals money from its clients and members

• An institution that provides financial services for its clients and members