Basics of Banking
Checking & Savings Accounts
- Your Checking Account and Savings are separate because when you take money out of your account it is only through your Checking Account.
- When you have a debit card it takes money immediately out of your Checking Account, but it won't let you spend over the amount you have.
- A Savings Account is where you "save" your money, and in case you need it then you can transfer money from your Savings to your Checking Account.
Terms to Know
- Managing your money into categories and checking the validity of each transaction
- When you spend over the amount in your account and owe the bank; usually a fee
- When you take money out of your account like at an ATM
- When you put money into your account
- Instead of getting a printed check from your employer they can send the money directly into your account
Bank Statements & Credit Report
- Allows you to see your transactions within a time period, and see what money you have left to spend
- It is a way for potential leaders, landlords, and future employers to find out how well you manage your expenses
- It can also be used against you in any court judgements