A program to qualify you for access to checking account services.

1. A program to qualify you for access to checking account services.

2. Chapter 1 Introducing the Get Checking Program

3. Overview of the Get Checking Program • Educational program about Deposit Accounts. • You will receive a Certificate of Completion. • You will be able to open an account with a Participating Financial Institution.

4. What can I expect to learn? • How you can open an account with your Get Checking Certificate. • Choosing an account that is right for you. • Managing your checking account. • Keys to successful money management and credit.

5. Get Checking Can: • Help you learn banking basics if you if you never had an account before. • Let you know all your choices when setting up direct deposit. • Help you avoid costly fees on an existing account. • Offer you a second chance if you have had problems with an account in the past.

6. How Do I Receive a Certificate • Attend all sessions. • Complete all class exercises. • Pass a minimum competency test.

7. How Do I Open an Account with My Certificate • Choose a Participating Financial Institution. • Bring with you: • Proper identification • Proof of payoff on any balance owed on prior account • Get Checking Certificate • Direct deposit is strongly encouraged. • Must not have been closed due to fraudulent activity on an account.

8. What Is ChexSystems? • ChexSystems is a consumer reporting agency. • ChexSystems collects information on account activity and reports to member financial institutions. • A financial institution, not ChexSystems, makes the decision to open your account or not.

9. Your Rights Under the Fair Credit Reporting Act • A free copy of your report. • You may dispute the completeness or accuracy of information by notifying ChexSystems. • ChexSystems will not remove accurate information. • ChexSystems current policy is to keep information for five years.

10. Will I Be Able to Write Checks? • Do you owe money to a merchant or creditor? • Contact that creditor to find out how to resolve the problem.

11. Chapter 2 Choosing an Account that is Right for You

12. Not banking costs me how much? How much does it cost to cash your paycheck? $ ________ How many times do you get paid each month? X ________ Total…………………………………………………. ________ How much does each money order cost you? X $ ________ How many money orders do you get each month ________ Total …………………………………………………. ________ Add the totals together – use it to compare with the cost of account option you are considering $ ________

13. Financial Institutions’ Roles in the Community • Bank deposits are used to make credit available to individuals and businesses. • Loans to individuals to purchase goods and services are made with bank deposits. • Loans to businesses to expand and provide more jobs are made with bank deposits. • Financial institutions help facilitate commerce; they are a cornerstone of all business done in the US.

14. Financial Institutions are Regulated and Insured • Financial Institutions may be regulated by State or Federal government. • Insurance provided by FDIC or NCUA.

15. Types of Accounts • Savings account • Electronic transfer account • Certificate of deposit • Money market • Checking account

16. Savings Account • Available for direct deposit • ATM card • Earns interest • Receive account statement • Normally requires minimum balance • Limited number of automatic withdrawals

17. Electronic Transfer Account (ETA) • Direct Deposit of federal government checks • Low cost • Access for withdrawals • Open to all recipients of federal government checks

18. Certificate of Deposit • Timed deposit • Higher rates for longer maturity • Minimum balance to open • Penalty for early withdrawal

19. Money Market Account • Larger minimum balance • Better interest rates than savings accounts • Limited check writing

20. Money Market Mutual Fund • Similar to accounts • Can have a lower deposit requirement

21. Checking Accounts • ATM and/or debit card available • Unlimited pre-authorized transactions • Overdraft protection • May earn interest • No cost, no minimum balance, unlimited check writing option available

22. Account Ownership • Individual account—you alone have access to the money • Power of Attorney • Payable on Death • Joint account – you and one other person have access to the money • Right of survivorship • Community or Marital property • Similar to joint ownership but specific to married couples • Custodial – used for minor children

23. Each financial institution may differ. When is the money in your account available? Changes in processing time have been more equalized as a result of Check21 legislation. It depends on the type of check you deposit and your account history. Obtain and read the funds availability policy. Funds Availability Policy

24. ATM Cards • Convenient access to your account • Withdrawals • Deposits • Be aware of costs and fees • Record transactions

25. Debit Cards Precautions • Keep it safe • Know cost • Record transactions • Keep receipts

26. Direct Deposit • Convenient access to your funds • Automatic transfers to saving • Helps avoid lost or stolen checks • Avoid trips to the financial institution

27. Pre-Authorized Transactions • Convenient way to pay bills • Use this option cautiously with established companies

28. Overdraft Protection Options • Monitor account • Transfer from savings • Line of credit • Tied to credit card

29. Choosing an Account • Account Activity • How do I intend to use the account? • Account Disclosure— information you need to make an informed decision • Annual Percentage Yield • Comparison shop interest rates

30. Chapter 3 Managing Your Checking Account

31. Using a Deposit Ticket 2 3 1 5 8 6 7 9 1. Date 2. Cash (coins and currency) 3. Checks 4. List additional checks on back of the deposit ticket 5. Total of checks from reverse side 6. Subtotal of cash and checks being deposited 7. Less cash received (the amount of money you want back) 8. Sign here if you are withdrawing cash 9. Total amount you want to deposit (Net Deposit)

32. Endorsing a Check

33. Writing a Check 8 7 1 2 3 4 6 5 10 9 1. Date 2. Check recipient 3. Amount of the check in numerals 4. Amount of the check in words 5. Purpose of the check 6. Signature 7. Name & address 8. Check number 9. Bank number 10. Your account number

34. Types of Checks • Personal checks • Certified checks • Cashier’s checks • Money orders

35. Check Processing Issues Stop Payment Overdraft NSF

36. The Check Register 4 3 5 1 6 7 8 2 1. Check number 2. Date 3. Purpose of the check 4. Check recipient 5. Amount of the check 6. √T=You can place a check here once you have reconciled this with your statement 7. Amount of deposit 8. Amount remaining in account (balance)

37. Chapter 4 Keys to Successful Money Management and Credit

38. Why Have a Spending Plan? • Money for emergencies • Able to save for major purchases or goals • Get more for your money

39. Where Does My Money Go? • Find extra money to reach goals • Get a picture of spending • Allow you to make decisions

40. Tracking Expenses Methods: • Envelope • Calendar • Receipts • Checkbook • Software or Account Book

41. Using Your Checking Account to Track Expenses • Use Your: • Register • Cancelled Checks • Carbon Checks • Organize expenses

42. Determining Income • Plan spending based on net income, or take home pay. • Use all reliable sources of income and income supplements.

43. Where Does Your Money Go? • Determine monthly expenses • Calculate monthly amount for expenses that occur less than once a month • Compare income and expenses • Make decisions on future spending

44. The Spending Plan Process 1. Determine values and priorities 2. Set specific financial goals 3. Track spending habits 4. Determine income 5. Develop spending plan 6. Make adjustments to the plan

45. Choosing the Right Account for Your Savings Plan • What are your goals? What do you want to accomplish? • Talk to your account representative about the best type of account or savings product.

46. What Is Credit • Using someone else’s money Principal = amount owed Interest = cost of credit

47. Why Is Good Credit Important? • You can get the credit you want WHEN you want it and HOW you want it

48. Four “Cs” of Credit • Character • Credit • Capacity • Collateral

49. Credit Reporting • Equifax 1-800-685-1111 www.equifax.com • Experian 1-888-EXPERIAN www.experian.com • TransUnion 1-800-916-8800 www.transunion.com • Fair Isaac Corporation www.myfico.com

50. What Is In Your Credit Report? • Identifying information • Credit information • Public records • Inquiries