FINANCE
Chapter 9
Checking Accounts
and
Other Banking Services
Lesson 9.1
Checking Accounts

GOALS:
 Describe the purpose of a checking
account
 Discuss how to prepare banking forms
 Be able to distinguish between
different types of checking accounts

Advantages?
Checking Accounts and Other
Banking Services
1.
2.
Checking accounts are convenient and safer
than carrying cash.
 Canceled checks serve as receipts.
 Budgeting is facilitated because check
records are kept.
Opening a checking account is quick and easy.
 A signature authorization form is prepared.
 You must have an initial deposit of $50
Continued…
3.
Rules of writing checks



Deposit slips should be used for adding
money to the account.
The checkbook register should be kept
accurate and a new balance calculated after
every entry.
The checkbook should be reconciled
immediately when the bank statement is
received.
Continued…
4.
5.
6.
Check endorsements allow a check to be
cashed or deposited.
There are many types of checking accounts
(special, standard, interest-bearing, or
sharedraft.)
There are many banking services available:
stop payment orders, certified checks,
cashier’s checks, money orders, debit cards,
safe deposit boxes, loans and trusts, financial
services, bank credit cards, automated
tellers (ATMs), online and telephone banking.
Writing a Check
A.
B.
C.
D.
E.
F.
G.
H.
I.
J.
Check number
ABA Number
Maker’s Preprinted Name and Address
Date
Payee
Numeric Amount
Written Amount
Drawer or Maker
Account Number
Memo
Using a Checkbook Register




Write clearly and legibly.
Keep a running balance.
Double-check your math.
Enter all payments made by check, as
well as deposits, withdrawals, and other
online transactions at the time these
transactions occur.
Check Endorsements


Determine how a check can be cashed or
deposited.
Protect you in the event a check is lost
or stolen.
Lesson 9.2
Other Banking Services

GOALS:


Describe various banking services.
Identify services for which banks commonly
charge fees.
Money Other Than Checks

1.
2.
When you don’t want to send cash, but your
check isn’t acceptable, consider:
Certified Check – Your own check guaranteed
by the bank. Your money is set aside to pay
the check. A certified check will not bounce
Cashier’s Check – A check drawn by the bank
on it’s own funds. You must pay cash for it,
or have it taken from your checking or
savings account. A cashier’s check will not
bounce.
Continued…
3.
Money Order – A method of payment
purchased at banks, post offices, and
other businesses. Generally, you must
pay cash (your personal check is usually
not sufficient). The money order will
not bounce.
Banking Fees



Banks charge fees to their customers to help
cover their operating costs (especially noncustomers).
Most charge for: overdrafts, using tellers,
balances that fall below the stated minimum,
cashier’s and certified checks, travelers’
checks, use of other banks’ ATMs, online bill
payment, and monthly account servicing.
Avoid fees by signing up for the kind of
account that best fits your needs.