Financial Institutions

Instructions: match each term to its definition.

• Pre-Authorized Payment

• A money transfer scheduled on a predetermined date to pay a recurring bill. The money is transferred from the individual’s bank account to the person or organization they owe money too (e.g. money is transferred from an individual’s bank account to a phone company to pay a phone bill).

• Cheque

• Is a document that instructs a financial institution to pay a specific amount of money from a person’s account to the person in whose name the document has been issued.

• Deposit

•  Putting money into your bank account using an ATM (automated teller machine) 

• Transfer

•  Moving money from one bank account to another using the internet.

Instructions: match each term to its definition.

• Pre Authorized Payment

• A money transfer scheduled on a predetermined date to pay a recurring bill

• Debit Purchase

•  Using a debit card (also called a bank card) to make a purchase at a store. Your card is swiped or tapped against a machine and money is automatically transferred.

•  Mobile cheque deposit

• Depositing a cheque into your bank account using a smartphone or other mobile device. You take a picture of the cheque from your bank’s financial app, the financial institution will scan the cheque for authenticity and deposit the amount in your bank account.

• Withdrawl

•  Taking money out of your bank account using an ATM (automated teller machine)

Which is not an example of a financial institution?

• Chartered Banks

• Trust Companies

• Credit Unions

• Trust Banks

Are regulated by the Bank Act of Canada.

• Trust Companies

• Chartered Banks

• Credit Companies

• Investment Companies

 Offer services similar to banks especially mortgages.

• Mutual Funds

• Credit Unions

• Chartered Banks

• Trust Companies

What are savings and credit groups that were originally begun by groups of people with common interest?

Offer limited services where clients may invest in a money market fund (stocks).

• Chartered Banks

• Trust Companies

• Investment Companies

• Credit Unions