Financial Literacy Vocabulary Terms

1. Financial Literacy Vocabulary Terms How Do I Make a Deposit?

2. Pretest • A deposit is how I pay someone. • A check can only be used to put something into the bank. • A financial institution is a car dealership. • Financial institutions are businesses. • A net deposit is the amount of money deposited into an account, minus any cash received

3. Learning Objectives • Explain that financial institutions are business • Name services that financial institutions provide • Name the parts of a checkbook • Complete a deposit ticket and maintain a check register correctly • Define net deposit

4. Financial Institution • A business that provides money-related services

5. Interest • A fee received for the use of money

6. Checking Account • An account that allows the owner to write checks against deposited money

7. Debit Cards • Allow customers to electronically and immediately withdraw funds from their accounts

8. Savings Account • An account used to hold money that is not needed right away

9. Loans • An amount of money borrowed by someone that must be repaid usually with interest

10. Credit Card • A card that allows the holder to buy goods and services by taking out a bank loan for the purchases

11. Checks • Written orders to a bank to pay a certain amount of money from a checking account to another person or business

12. Deposit Tickets • Written records of money put into a checking account

13. Check Register • A booklet for recording the money that is put into (deposited) or removed (withdrawn) from the checking account

14. Net Deposits • The amount of money deposited into an account, minus any cash received

15. Endorse • To write a signature on the back of a check

16. 1. A financial institution… • Is a business • Provides money related services • Accepts deposits and makes loans • All of the above

17. 2. Checking Accounts… • Use an ATM • Can be used to pay bills • Never put money into your checking account

18. 3. Debit Cards • Are NOT like virtual checks • Are savings accounts • Allows people to withdraw money immediately from their checking accounts • Does NOT allow people to withdraw money from their checking accounts

19. 4. A loan… • Is money borrowed, but does not have to be repaid • Is money borrowed, but has to be repaid without interest • Is money borrowed but has to be repaid with interest • Is money

20. 5. Interest • Interest doesn’t exist • Interest is NOT a fee for the use of goods • Interest is a fee for the use of goods • Interest is a fee received for the use of money

21. True or False 6. Checks are written orders to a bank to pay a certain amount of money from a checking account to another person or business.

22. True or False 7. Deposit tickets are not written records of money put into a checking account.

23. True or False 8. A check register is a booklet for recording the money that is put in and taken out from the checking account.

24. True or False • You never have to endorse a check.

25. True or False 10. A net deposit is the amount of money deposited into an account after adding.

26. Exit Ticket • What term means the amount of money deposited into an account, minus any cash that is received? • Check Register • Net Deposit • Endorse