Financial Institutions and Concepts

An account at a depository institution that is used for a fixed period of time and allows restricted access to the funds deposited

• Liquidity

• Certificate of deposit

• Depository intitution

• Checking account

An account that allows quick access to funds for transactions

• Depository institution

• Certificate of deposit

• Checking account

• Savings account

Businesses that provide financial services

• Depository institution

• Checking account

• Savings account

• Savings tools

How quickly and easily an asset can be converted into cash

• Savings account

• Money market deposit account

• Checking account

• Liquidity

An account at a depository institution that is designed to hold money not spend on current consumption

• Certificate of deposit

• Checking account

• Savings tool

• Savings account

A account at a depository institution that usually has minimum balance requirements and tiered interest rates

• Savings account

• Money market deposit account

• Checking account

• Tiered interest rate

Accounts offered by depository institutions whose main purpose is to help people manage their money

• Checking account

• Savings account

• Savings tools

• Money market deposit account

The amount of interest earned depends on the account balance

• Tiered interest rate

• Liquidity

• Certificate of deposit

• Money market deposit account

Earning interest on interest

• Principal

• Consumption

• Emergency savings

• Compounds interest

The purchase of goods and services

• Saving

• Do it yourself

• Consumption

• Interest