•
•
•
•
•
•
•
Activity
Activity
Activity
Activity
Activity
Activity
Activity
1………….Why Do You Need A Bank?
2………The Many Services of a Bank
3…The ABCs of a Chequing Account
4………Opening a Chequing Account
5……………….How to Write a Cheque
6….Maintaining a Chequing Account
7……The ABCs of a Savings Account
ACTIVITY 1
Why Do You
Need a Bank?
Overview
• Purposes of banks
• The differences between banks and
credit unions
• Safety of financial institutions
• Banks as money management tools
2
Basic Banking Services - Activity 1
CANADA DEPOSIT
INSURANCE CORPORATION
• Established in 1967
• A Crown Corporation
• Protects depositors against certain
losses, up to $100,000 per depositor
3
Slide 1 – Canada Deposit Insurance Corporation
Lesson Reference: Basic Banking Services, Activity 1 – Overhead 2
ACTIVITY 2
The Many Services
of a Bank
Overview
•
•
•
•
4
Financial services provided by a bank
Bank employees
Services that might be of personal benefit
The impact of state and federal regulations
upon the security of a bank
Basic Banking Services - Activity 2
REMITTANCE OPTIONS
TO SEND AND RECEIVE MONEY
1. Money Transfer Organizations
2. Bank Transfers
3. Hand Delivery
4. Mail
5. Hawala
6. Post Offices
7. Stored Value Cards
5
Slide 1 – Remittance Options
Lesson Reference: Basic Banking Services, Activity 2 - Overhead 1
BANK OCCUPATIONS
• Tellers
• Personal Bankers
• Mortgage Lenders
• Operations Manager
• Branch Manager
6
Slide 2 – Bank Occupations
Lesson Reference: Basic Banking Services, Activity 2 – Overhead 2
ELECTRONIC BANK SERVICES
Online banking is the fastest growing Internet
activity in Canada.
Types of Services
• Bank Cards
• Automated Services
Protect Your Passwords!
7
Slide 3 - Electronic Bank Services
Lesson Reference: Basic Banking Services, Activity 2 – Overhead 3
BANK CARD TYPES
8
TYPE
• ABM/Debit Cards
DESCRIPTION
• Stored Value Cards
• Bank cards with preset, limited value.
• Used to pay for goods and services.
• Alternative to cash.
• Bank cards that allow for the payment
of goods and services to be subtracted
directly from a bank deposit account.
• Can be used with merchants that take
major credit cards—known as point of
sale (POS) transactions.
Slide 4 - Bank Card Types
Lesson Reference: Basic Banking Services, Activity 2 – Overhead 4
AUTOMATED BANK SERVICES
• Direct Deposit
• Transfers between Accounts
• Transfers to a Third Party
• Online Banking
• Bank by Phone
• ABM
9
Slide 5 – Automated Bank Services
Lesson Reference: Basic Banking Services, Activity 2 – Handout 3
REGULATION OF ELECTRONIC
BANKING SERVICES
Electronic Funds Transfer Code
Initiated by the Ministry of Consumer and Corporate Affairs
(CCAC) in 1989. It protects consumers using any type of
electronic banking from loss and protects their privacy.
Banks must:
• Offer consumers a record or receipt for all computer
transactions.
• Investigate errors and report to consumer within ten days of
error notification.
Customers are responsible to report any errors.
10
Slide 6 - Regulation of Electronic Banking
Lesson Reference: Basic Banking Services, Activity 2 – Overhead 5
ACTIVITY 3
The ABCs of a
Chequing Account
Overview
• Purposes of a chequing account
• Shopping for and comparing chequing accounts
11
Basic Banking Services - Activity 3
CHEQUING ACCOUNT TERMS
• Bank Statement
• Cancelled Cheque
• Cheque
• Cheque Register/Ledger
• Endorsement
• Fee
• Interest
• Minimum Balance
12
• Outstanding
Transactions
• Overdraft
• Overdraft Protection
• Payee
• Reconciling a Bank
Statement
• Transaction Limits
Slide 1 - Chequing Account Terms
Lesson Reference: Basic Banking Services, Activity 3 – Handout 1
SHOPPING
AROUND
(THINGS TO
ASK ABOUT
WHEN
OPENING A
CHEQUING
ACCOUNT)
13
SERVICES
Location of bank
Location of ABMs
Banking hours
Minimum balance required
Minimum transactions or limits
Interest-bearing accounts?
Other
COSTS
Non-primary bank ABM transactions
In-branch transaction fees
Per-cheque fees
Other chequing fees
Overdraft protection
Printing of cheques
Slide 2 - Shopping Around
Lesson Reference: Basic Banking Services, Activity 3 - Handout 2
ACTIVITY 4
Opening a
Chequing Account
Overview
•
•
•
•
14
Chequing Account Application Process
The Application
Acceptable Forms of ID
The Signature Authorization Card
Basic Banking Services - Activity 4
OPENING A CHEQUING ACCOUNT
15
Slide 1 – Opening a Chequing Account
Lesson Reference: Basic Banking Services, Activity 4 – Handout 1
COMMONLY ACCEPTED FORMS OF ID
Primary ID*
• Driver’s Licence issued in Canada
• Old Age Security card
• Canadian passport
• Certificate of Indian Status
• Certificate of Canadian
Citizenship
• Provincial health insurance card
(except Ontario, Manitoba,
and PEI)
• Permanent Resident card or
Citizenship and Immigration
Canada Form IMM 1000, IMM
1442, or IMM 5292
• Birth certificate issued in Canada
• Social Insurance card
• Provincial ID card, bearing the
individual’s photograph and
signature, issued by authorities such
as Insurance Corporation of British
Columbia, Alberta Registries, Service
New Brunswick, etc.
* Financial institutions' ID requirements may differ; check with the institution first before
applying for an account.
16
Slide 2 - Commonly Accepted Forms of ID
Lesson Reference: Basic Banking Services, Activity 4 – Handout 2
COMMONLY ACCEPTED FORMS OF ID
Secondary ID*
• Employee photo ID card
• Canadian University/
College photo ID card
• Canadian bank or ABM/debit card
• Canadian credit card
• Canadian National Institute for the
Blind (CNIB) client card
• Foreign passport
* Financial institutions' ID requirements may differ; check with the institution first before
applying for an account.
17
Slide 3 - Commonly Accepted Forms of ID
Lesson Reference: Basic Banking Services, Activity 4 – Handout 2
SIGNATURE AUTHORIZATION CARD
18
Slide 4 – Signature Authorization Card
Lesson Reference: Basic Banking Services, Activity 4 – Handout 3
ACTIVITY 5
How to Write a Cheque
19
Basic Banking Services - Activity 5
WRITING A CHEQUE
20
Slide 1 - Writing a Cheque
Lesson Reference: Basic Banking Services, Activity 5 – Handout 1
ACTIVITY 6
Maintaining a
Chequing Account
Overview
•
•
•
•
•
21
Keeping a cheque register
Making a deposit into a chequing account
Reconciling a bank statement
Maintaining a chequing account
Avoiding overdrafts
Basic Banking Services - Activity 6
KEEPING A CHEQUE REGISTER
22
Slide 1 - Keeping a Cheque Register
Lesson Reference: Basic Banking Services, Activity 6 – Handout 1
MAKING A DEPOSIT - ENDORSING A CHEQUE
The Back Side of a Cheque
23
Slide 2 - Making a Deposit - Endorsing a Cheque
Lesson Reference: Basic Banking Services, Activity 6 – Handout 1
MAKING A DEPOSIT COMPLETING A DEPOSIT SLIP
24
Slide 3 - Making a Deposit - Completing a Deposit Slip
Lesson Reference: Basic Banking Services, Activity 6 – Handout 1
RECONCILING A BANK STATEMENT
25
Slide 4 - Reconciling a Bank Statement
Lesson Reference: Basic Banking Services, Activity 6 – Handout1
OVERDRAFTS AND BOUNCED CHEQUES
Overdrafts and bounced cheques occur when you complete a
financial transaction (e.g., write a cheque) for more than
what is available in the account. Your financial institution
may pay the amount and charge you a fee, known as an
“overdraft fee” or a “nonsufficient funds fee.”
Tip: Avoid overdraft or non-sufficient funds fees by making a
habit of monitoring the balance in your chequing account.
26
Slide 5 – Overdrafts and Bounced Cheques
Lesson Reference: Basic Banking Services, Activity 6 – Overhead 1
ACTIVITY 7
The ABCs of a
Savings Account
Overview
•
•
•
•
27
Purpose of a savings account
Shopping for a savings account
Applying for a savings account
Monthly bank statement checkup
Basic Banking Services - Activity 7
REASONS TO SAVE
• Emergencies
• Future Purchases
• Future Investments
28
Slide 1 - Reasons to Save
Lesson Reference: Basic Banking Services, Activity 7 – Overhead 1
SHOPPING FOR A
SAVINGS ACCOUNT
Factors to consider:
•
•
•
•
•
•
•
•
•
29
Safety
Risk
Liquidity
Minimum Account Balance Requirements
Fees and Service Charges
Interest Rate
Returns (Earnings)
Automatic Transfer
Direct Deposit
Slide 2 - Shopping for a Savings Account
Lesson Reference: Basic Banking Services, Activity 7 – Overhead 2
OPENING A SAVINGS ACCOUNT
30
Slide 3 – Opening a Savings Account
Lesson Reference: Basic Banking Services, Activity 7 – Overhead 3
BANK STATEMENT
31
Slide 4 – Bank Statement
Lesson Reference: Basic Banking Services, Activity 7 – Overhead 4