Banking for Teens
By: Kali Shoemaker
Important things to look for when choosing your bank...
- security of your funds
- fees
- ease of deposit
- ATM fees
- interest rates
- online banking features
- minimum balance requirements
- branch availability
- customer service
- availability of funds
How to get a debit card/open a checking account
- To open an account, gather personal information before you go to the bank
- Fill out an application from your bank of choice
- Activate your card
Checking Accounts and Debit Cards
Checking accounts:
- funds are easily accessed
- services and fees vary depending on the bank you choose
- convinent
- spending plan tool
- safety
- reduces the need to carry large amounts of cash
Debit cards:
- electronically connected to your bank account
- money is automatically withdrawn from your account
- requires a PIN
- account number- links purchases made with your account
- expiration date
- magnetic strip
- authorized signature
- verification number- 3 digit code
Benefits and Dangers of having a Debit Card
- does not allow overspending
- convenient
- used like credit card
Dangers-
- you can lose track of your balance
- opens checking account up for credit fraud
- others can gain access if the card is lost
How to keep track of spending/record transactions
Different types of expenses
Variable- you have to pay for these expenses every month and they do not stay the same price (i.e. gas, groceries)
Discretionary- things that you do not have to spend money on but you choose to (i.e. eating out, movies, shopping)
How to make deposits and withdraws
Deposits- putting money into your bank account
Withdraws- taking money out of your bank account
If you lose your debit card
Helpful Vocab/Terms
verification number- 3 digit code on the back of your card
magnetic strip- where the card is swiped, stores data from your account
expiration date- when your debit card is good until, once this is up you need to get a new debit card with a new expiration date from your bank
bounced check- when you write a check that is over the amount of the current balance of your account
check account register- where you record all of your transactions/purchases
checkbook- holds checks and check registers