Employment Skills U2

Which savings account will earn you the most money?

• short-term financial goals, like building an emergency fund.

• One that gives you compound interest daly

•  Checking's account 

• Investment trading

Investing is best for ________.

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

• helps customers or members with any questions they may have

• Used for everyday transactions through checks or debit cards.

• Checking's account 

• This is so we have a record of you approving the check to be transferred to your bank account.

Which of the following is NOT a common feature of a financial institution?

• helps with account transactions like depositing or withdrawing money.

• Manages all the employees at a specific location

• Advises, evaluates, and signs off on loans to individuals and businesses.

• Investment trading

What can you do in a Brick and Mortar Banks

• Exchange checks for cash, get a debit card to use at ATMs, arrange loans, and deposit checks into your accounts.

  Use the bank’s website to pay bills, make deposits, and monitor your accounts. 

  Speak to someone in person to help with banking needs.

• Earn little interest on the money in your accounts.

  Pay higher bank fees since banks have to pay to keep the physical building running.

  Can’t access the physical bank after hours.

• These are the banks you may see as you drive through town.

• Get better interest rates on your savings accounts and loans since credit unions reinvest their profits to improve your rates.

  Access banking services online.

  And join a credit union with members who have the same values as you

What can you do in Credit Uines

• Credit unions are not-for-profit institutions that are co-owned by their members who make decisions democratically. Credit unions typically offer all of the same services as traditional bank

• Get a free checking account with a low initial deposit andlower bank 

  Get better interest rates on your savings accounts and loans since credit unions reinvest their profits to improve your rates.

  Access banking services online.

  And join a credit union with members who have the same values as you

• Have to be eligible to join a credit union through your job, location, membership of certain groups, or a family member.

  There may be fewer branches available in your area.

• Thats not a thing

What is a Brick and Mortar Banks

• People who don’t have an account at a bank or a credit union may use a cash advance or payday loan company to get money quickly, but at a high risk.

• All services are done through an application or website using either a computer or mobile device.

• have physical buildings. These are the banks you may see as you drive through town.

•  are co-owned by their members who make decisions democratically. Credit unions typically offer all of the same services as traditional bank

What is a Internet Banks

• Internet banks are only online. All services are done through an application or website using either a computer or mobile device.

• Used to store money for longer-term goals.

• Used for everyday transactions through checks or debit cards.

•  borrower ends up paying $520 in interest on a $375 loan.

What is a Credit Unions

• People who don’t have an account at a bank or a credit union may use a cash advance or payday loan company to get money quickly, but at a high risk.

• Credit unions are not-for-profit institutions that are co-owned by their members who make decisions democratically. Credit unions typically offer all of the same services as traditional bank

• Get a free checking account with a low initial deposit andlower bank 

  Get better interest rates on your savings accounts and loans since credit unions reinvest their profits to improve your rates.

  Access banking services online.

  And join a credit union with members who have the same values as you

• Have to be eligible to join a credit union through your job, location, membership of certain groups, or a family member.

  There may be fewer branches available in your area.

What is a Cash Advance and Payday Loans

• Get cash for your check immediately.

  Have 24 hour access in many cases.

• Get cash for checks, deposit checks into your accounts, and get a debit card to use at ATMs.

  Earn a little more interest on your money in your accounts and pay a little less interest on your loans.

  Use your debit cards at potentially thousands of ATMs around the world.

• People who don’t have an account at a bank or a credit union may use a cash advance or payday loan company to get money quickly, but at a high risk.

• Always have to pay for the service. Some companies charge you a fee plus a percentage of the total check amount.

  Are getting a very bad deal. A typical payday borrower ends up paying $520 in interest on a $375 loan.

  Can fall into a payday loan cycle where you need to take out another payday loan to pay for the first payday loan